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August 2, 2005
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March 1, 1965
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DEPARTMENTS OF STATE, JUSTICE, AND COM- MERCE, THE JUDICIARY, AND RELATED AGENCIES APPROPRIATIONS FOR 1966 HEARINGS SUBCOMMITTEE OF THE COMMITTEE ON APPROPRIATIONS HOUSE OF REPRESENTATIVES EIGHTY-NINTH CONGRESS SUBCOMMITTEE ON DEPARTMENTS OF STATE, JUSTICE, AND COMMERCE, THE JUDICIARY, AND RELATED AGENCIES APPROPRIATIONS JOHN J. ROONEY, New York, Chairman ROBERT L. F. SINES, Florida FRANK T. BOW, Ohio JOHN M. SLACK, Sit., West Virginia GLENARD P. LIPSCOMB, California NEAL SMITH, Iowa ELFORD A. CEDERBERG, Michigan JOHN J. FLYNT, Georgia CHARLES S. JOELSON, New Jersey JAY B. Howe, Staff Aesistant to the Subcommittee DEPARTMENT OF JUSTICE Printed for the use of the Committee on Appropriations 0 Approved For Release 2005(0#4i6~'"e I DP,7OB00338R000300040001-0 I?G ~Ait `J C. -A f Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 DEPARTMENTS OF STATE, JUSTICE, AND COM- MERCE, THE JUDICIARY, AND RELATED AGENCIES APPROPRIATIONS FOR 1966 HEARINGS SUBCOMMITTEE OF THE COMMITTEE ON APPROPRIATIONS ROUSE OF REPRESENTATIVES EIGIITY-NINTII CONGRESS SUBCOMMITTEE ON DEPARTMENTS OF STATE, JUSTICE, AND COMMERCE, TIIE JUDICIARY, AND RELATED AGENCIES APPROPRIATIONS JOHN J. ROONEY, New York, Chairman ROBERT L. P. SIRES, Florida FRANK T. BOW, Ohio JOHN M. SLACK, Jit., West Virginia GLENARD P. LIPSCOMB, California NEAL SMITH. Iowa ELFORD A. CEDERBERG, Michigan JOHN J.FLYNT, Georgia CHARLES S. JOELSON, New Jersey JAY B. IIowo, Staff Assistant to the Subcommittee DEPARTMENT OF JUSTICE Printed for the use of the Committee on Appropriations 0 46-86 V:1 IIINGT 126" Approved For Release 20050 /16 : N IA: R2'70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 COMMITTEE (IN APPROPRIATION's GEORGE 11. .MIDS. Toms, Chairman .U.ill:lf'1' THOMAS, 'I'cya~ FRANK T. R(JWT, Uiti(i 1[I+'UAi:I. J. KIRWAN, Ohio JAM1l L. Will , I,EN. ltississllq 1 GEuRGi: \V..1NDREWS, Alabtana .lIIN J. R(w)-NEl, -New lurk .1nII\ E. F+Jt;ARTI, Rhode Karol l;UlSER'I' 1.. I'. Si1i1?:S, hlorldu h. I'.1SSlf:1\, I,nui>iana 1+)I: L. i:VI\S,'I'cnnrssee I:I)\1'.II;D I. BOLA\D, 1L'tsuchuaclts WILLIAM H. A.1TI'II1:I:, IG,ntuckr I ).1 \ 11;1..1 1'L0O1), I'vunscIva nia 11'I\1'IGLI) X. DENTON, Indiana '1()\l STEED. (Jklahouta I;F UHF E. S1I11'Ll;l Illinois JOHN M. SLACK, in.. 15'c,I Virginia IItI\ .1 FLINT, Ju., Georgia NEA1, SiITtI, Iowa 10)IsERT N. GIAIMO, Connecticut I'IIARLES R. JONAS. -North Carolina MI:L1"IN U. LAIRD, Wisconsin ELI'ORD A. CEDl:1(I;I:RG, Michigan GLI:\ARD 1'. LI1'SCO MIl, California JOHN .1. RI{UDES, Arizona WILLIAM H. MINSIIALL, Ohio IU)llI:1{'1' H. 1[(+'I[}:I,, Illinois Sll.ti"l(I U, ('U\T1:? Massachusetts "DIN L_1NI;I:5, Minnesota 151:A RF:IFEL, Sott(h Dakota GLENN U. DAVIS, Wisconsin HOWARD W. ROLISI(N, New Turk G.tR\1:R E. SIIUITER, Kansas .II)S1;1'II \f. M)'DADI:, Pennsylvania MARK ANDRE\TS. -North Dakota I I'LL1 ltI 'l FEI{ MANSE\, Washington CIlA1{IJ?:S S. JOELSUN, New Jersey II(SI;1'!1 I'. ADIIAL'IIU, Net Turk .IUII\ A. M, FALL, California 11 K. I Ii"LL. Ja., Missouri It. RI IJ.T i 1MATTIIEWS, Florida .1 ;IFEIIl' Cu1IELAN, California 'I IIIIMAS G. MORRIS, New Ifoaico 1:1 i\VA 110 .1. I'A1"l'1;\. New Jersey +'I.ARE\CE 11. LONG, Maryland J411I\ u. MARSJL JIt., VIrcinla I;n11ERT II. Dl'ti('AN, Oregon Sit(NEY I;. T:1THS, Illinois 1111.]11: S. 1'AIINUM. Michigan Knx e"ru Spa.t' KLE, Clerk and staff Director Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 DEPARTMENTS OF STATE, JUSTICE, AND COMMERCE, THE JUDICIARY, AND RELATED AGENCIES APPRO- PRIATIONS FOR 1966 MONDAY, M AxdII 1, 1965. DEPARTMENT OF JUSTICE WITNESSES HON. NICHOLAS deB. KATZENBACH, ATTORNEY GENERAL RAMSEY CLARK, DEPUTY ATTORNEY GENERAL J. C. BROWN, CHIEF, BUDGET AND ACCOUNTS OFFICE Mr. ROONEY. The committee will please now come to order. This morning, gentlemen, we shall commence consideration of the appropriations requests for the Department of Justice. The total such requests for the fiscal year 1966 are in the amount $373,834,000, which would be an increase of $8,705,000 over the amounts appro- priated to date in the current fiscal year. We shall insert in the record at this point the summary at pages 1-1 through 1-3 of the justification book. (The pages follow:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Summary of personnel [Dollar amount in thousands] Permanent positions Average number of all employees Total personnel compen- sation Permanent positions Average number of all employees Total personnel compen- sation Permanent positions Total personnel compen- sation Employ- ment as of Nov. 30, 1964 Legal activities and general administration: Salaries and expenses, general adminis- tration--------- $3, 913 $4, 303 $4, 601 Salaries and expenses, general legal activ- ities____________ 1,617 1,519 15, 063 1,723 1,638 17, 305 1,724 1, 645 17, 651 1, 543 Salaries and expenses, Antitrust Division- 608 563 5, 441 614 557 5, 869 614 554 5,921 558 Salaries and expenses, U.S. attorneys and marshals---_ ----------- 21,983 24, 132 24,531 Fees and expenses of witnesses 893 965 1, 040 Total, legal activities and general ad- ministration- 5, 623 5, 409 47,293 5,794 5, 552 52, 574 5, 858 5,621 53,744 5,462 Federal Bureau of Investigation: Salaries and expenses, Federal Bureau of Investigation_- 14, 422 13,829 118, 812 14,776 14, 239 129,004 15, 583 15, 046 135, 632 14, 730 Immigration and Naturalization Service: Salaries and expenses, Immigration and Naturalization Service______________________ Federal prison system: Salaries and expenses, Bureau of Prisons__ 5,373 5, 322 5, 330 5, 386 5, 362 41,035 4,990 Buildings and facilities, Federal prison system- -------------------------- 52 40 314 52 318 52 40 320 26 Support of U.S. prisoners_________________ 178 ------------ 185 191 -------------- Total, Federal prison system ---____-___ 5,358 I 40,916 Total, appropriated funds__ 31,844 ; 280,382 EXPENSE LIMIT ATION8 Office of Alien Property: Salaries and ex- penses, Office of Alien Property_ 48 53 535 46 52 21 Federal Prison Industries, Inc.: Administrative and vocational expenses_ _ 197 200 1,496 197 205 202 Total, expense limitations -------------- Grand total, appropriations and limita- tions--------------------------------- Average number of all employees Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16: CIA-RDP70B00338R000300040001-0 Summary of personnel compensation [Dollars in thousands] 1964 1965 1966 1966 increase (+) or decrease (-) over 1965 actual estimate estimate Permanent positions_______________________________ $241,340 $262, 991 $271,005 +$8,014 +3.05 Positions other than permanent_____________________ 1,363 1,677 1,516 -161 -9.60 Special personal service payrnents___________________ 2,299 2,460 2,466 +6' +.24 Other personnel compensation_______________________ 13, 845 14,565 14,975 +410 +2, 81 Fees------------------------------------------------- 893 965 1,040 +75 +7.77 +8, 344 +2.95 Summary of obligations by objects [Dollars in thousands] 1964 1965 1.966 1966 Increase (+ or decrease (-) over 1965 actual estimate estimate 11 Personnel compensation_______________________ $259,740 $282, 658 $291,002 +$8, 344 +2.95 12 Personnel bene:fits___------------------ ________ 18,801 20, 275 21,018 +743 +3.66 21 Travel and transportation of persons -..----____ 14,366 14,380 16,171 +791 +5.50 22 Transportation of things_______________________ 1,548 1,547 1,798 +251 +16.22 23 Rent, communications and utilities____________ 8, 096 8,535 8,065 +430 +5:04 24 Printing and reproduction_____________________ 1,943 1,988 2, 067 +79 +3.97 25.1 Other services_________________________________ 9,372 9,757 10,331 +574 +5.88 26.2 Services of other agencies__________________ 675 677 679 +.30 26 Supplies and materials_________________________ 13,921 13,963 14,217 +254 +1.82 31 Equipment----------------------------------- 6,178 8,902 7,705 -1,197 -13.45 32 Lands and structures__________________________ 2,907 26, 326 5,237 -21,089 -80,11 41 Grants, subsidies and contributions ___.________ 210 212 295 -1-83 +39.15 42 Insurance claims and indemnities-------------- 68 66 84 +18 +27.27 44 Refunds-----------------------------?--------- 32 31 31 91 Unvouchered__________________________________ 68 70 70 ---------- 94 Change in selected resources____________________ 1 863 -2 633 -108 +2, 525 95 P,Quarterscharges_______________________________ , -473 , -529 -529 Total obligations_____________________________ 339,315 378, 033 Transfer to "Operating expense, Public Buildings Service," General Services Administration________ 77 6 71W. Advances and reimbursements______________________ -50 -50 Unobligatd balances: Brought forward I______________________________ -1,957 -8, 215 -1,590 +6, 625 +19.35 Carried forward r-------------------------------- 8,215 1, 590 125 -1,465 -2,14 Lapsing---------------------------??---------- 1,729 Proposed supplemental due to civilian pay increase-- -11,677 +100.00 367, 979 376, 518 +2.32 I Buildings and facilities, Federal Prison System (no year appropriation). Mr. ROONEY. We are pleased to have with us this morning the dis- tinguished Attorney General of the United States, Mr. Nicholas deB. Katzenbach, whom we should compliment on his recent nomination by the President as Attorney General and his subsequent approval by the other body. I should also welcome the distinguished Deputy Attorney General, who is proceeding along his father's footsteps. I can remember when his father was Assistant Attorney General. You may proceed, Mr. Attorney General. Mr. KATZENBACTf. I have a statement, Mr. Chairing' li.- Would you like me to read it? Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Mr. R00 EI'. Please do whatever you figure you should do. Mr. PIATZENBACII. It summarizes briefly the work of the Depart- ment and perhaps it would be helpful. Mr. RooNEY, You may proceed in whatever fashion you propose. GENERAL STATE31E.NT Mr. KATZE N-BACii. I am pleased to appear before you today. This is my first testimony before a congressional comittee since I was sworn in as Attorney General and it is only fitting that it be before a group of legislators who know the Department so well-and whom we in the Department know so well. There is a note of sadness in my appearance here today Mr, RooxEy. This reminds me that somebody, I think it was News- week magazine, said I had six people from your Department assigned to me permanently, six agents from the FBI. Mr. KATZE.-OACII. I saw that, I was about to do an investigation of it. Mr. Roo:;Ey. Associate Director Clyde Tolson subsequently wrote a letter to the editor of Newsweek magazine in which he said there was not the slightest truth in it, but Newsweek still persisted that [here were not five agents but. six agents assigned to nie. This is all good publicity back home. Some folks might think I were important. Mr. KAvz -1-OACir. As I started to say, Mr. Chairman, there is a note y because for the first time in of sadness in my appearance here toda, 30 years I am not accompanied by our devoted and able Assistant Attorney General, Sal Andretta, who has been sick, as the committee knows, but has asked me to express his unhappiness at not being here and the hope he will be here in the near future. Mr. RooxEr. We all very much regret his inability to be with us this morning and wish him a speedy and complete recovery from his illness and hope it will not be long before he, is back with you in the Department and before this committee again. Mr. KATZi 'EACH. Thank you; I certainly hope so, because it does not seem like home in the Department without him. Mr. Bow. Mr. Chairman, will you yield? Mr. Roo.,,-By. Yes, Mr. Bow. Mr. Bow. 11r. U torn-ey General, I want personally to say how much we miss Mr. Andretta here this morning. On behalf of the minority may I say he has always been most cooperative with us and has always made available information we need from the Department. We miss him very much and hope he will be back soon, Mr. t TZENBAcii. Thank you, Congressman. I appreciate your remarks and I know lie will appreciate them. I am also pleased to appear today because it gives mean opportunity to report to you briefly on what t`rie Department has been doing. Since I have been the head of the Department for such a short time, I will not go into specifies. You will soon hear the detailed testimony of the associates on whose services I, the Department, and indeed the country are so fortunate to rely. But there are a few areas on which I would like to report to you briefly. Principally, ifpthe population and economy of the United States continue to swell, so the activities of Government become more num- Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 erous and more complex. The work of the Department necessarily increases. We have sought to absorb as much of this workload as possible by making every dollar and every hour count. The day will certainly arrive when we will be unable to keep up with this mushrooming workload without a significant increase, in staff. But for the time, through continued energy and emphasis on internal efficiencies, we have been able to keep pace without dramatic personnel increases. INCREASES REMSTED You will note that the Department of Justice is asking for a 1966 appropriation of $373,834,000. This is slightly less than the total amount appropriated last year. But that comparison is not fair. More than $15 million of the 1965 amount was for construction and nonrecurring costs. Thus, a fair comparison will show that we are, in fact, asking for an increase in 1966 of $12,756,000. I would like to analyze brieffy why we believe this increase is essential. With a few exceptions, the funds requested are to carry on the regular activities of the Department. For example, $2,149,000 or 17 percent is for automatic increases to cover the cost of complying with statutory provisions related to salaries and postal rate increases. Another 22 percent is to cover higher costs of maintaining existing staffs and services. The bulk of the remaining $7,730,000-61 percent- is to cover new staff and facilities for the FBI. Despite increases both in the volume of its work and in its responsibilities, the FBI has not sought addi- tional personnel for 2 years. Now, however, the work pressures are sufficiently great to make this request essential. Mr. Hoover will, of course, go into this subject in detail when he appears before you. The remaining requests for additional staff are largely in three areas. One is for the operation of the Federal prison system. This includes a personnel request for a project in which we are particularly interested-an additional prerelease guidance center or "halfway house." This is the program that has had such great success in rehabilitating youthful offenders by helping to ease them back into society on a self- sustaining basis. The budget request for the Bureau of Prisons also includes :a small increase in the number of medical and psychiatric physicians which is essential if we are to carry out the growing use of these tools by the district courts. And we should use them. It is the purpose of Myrl Alexander, the experienced and able new head of the Bureau of Prisons, to put maximum emphasis on rehabilitation, just as that was the purpose of James V. Bennett, his distinguished predecessor, whose views on penology have had such a historic impact. The second area in which we are requesting an increase is in the U.S. 'attorneys' appropriation. This request is designed to provide 40 new positions to strengthen and intensify our collection procedures. A recent congressional report, following a General Accounting Office survey, indicated that substantial sums due the United States in judgments, fines, and forfeitures are unnecessarily delayed in collec- tion. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 b While many F.". attorneys' ofl'tcis are doing a good jnh on collec- tions, others are hrtnihered'prin-,arily because they rto not have the necessary staff. Pushing collections, as you gentlemen know, is tedi- ous and time consuming, and we believe this request will more than pay for itself in revenues. The third area. is the only one in which we have sought to expand to undertake new responsihilities-llienew Office of Criminal Justice, which.ttorney General Kennedy established after passage of the Criminal Just ice Act of 196-1. `I'haat lughl~ significant legislation made even more tangible the needs of an area of ext rears si niftcau ce. The debates over issues of in- diyidual rights as against the needs of law enforcement are accele- rating daily anti the Department can and should work toward resolu- tion of these differences. Generally stated, that is the long-term goal of this new office. In the meantime, the Office has immediate specific responibilities. One is to assist in the implementation of the Criminal Just ire Act. Another is to press further the work of the Al(orney General's Com- mittee on Poverty and lite. Administration of Criminal Justice. This Committee submitted its retort in February 1961). and a number of its proposals require continuing action within the Department. Still another resimnsihilityy of the Office of Criminal Justice is con- tinuing effort toward bail reform in the Federal system and coopera- tion with the swelling number of bail reform projects within the States. This last aspen reflects one of the inip rtauat functions of this Of- fice as a vehicle for close cooperation, not onlv within the Federal Government but with State, local, private, and professional groups concerned with the administration of criminal law. Thu , the Office is examining a wide range of problems where constructii-e action is possible, extending from arrests and pretrial procedural problems to sentencing, parole, and probation. I do not wish you to think of this Office as interested only in rights of defendants. It is concerned, too, with the rights of society and with the task of balancing effective law enforcement and individual liberty. Because. of the urgency of the problems in this field. we have, since the Office was established, carried on a very limited program with bor- rowed personnel, and we were extraordinarily fortunate to secure the services of Prof. James Vorenberg of the Harvard Law School to direct this Office on a part-timebasis. He is with one this morning. Our request for 19(6 is for 12 positions at a cost of $145,000 for thus Office. There is one other request in the budget before You which is not directly related to the Department. of Justice, but on. which I would, nonetheless, like to comment. It, is for funds to implement file extension of the Commission ono International Pules of ,Iudic.ial Procedure. This is the body, as You will recall, which has done such worthwhile work to case and expedite private litigation which crosses national boundaries. The life of the Commission already has been extended and the appropriation re- quested is for implementation. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 I said at the outset that I was proud of the excellent job the Depart- ment has done in the past year. Let me report to you briefly on these activities. Under Attorney General Kennedy the Department, and indeed the entire spectrum of Federal law enforcement agencies, began an in- tensive effort against organized crime and racketeering. We have sought to maintain the momentum of that effort. The number of racketeers convicted is a telling reflection of that work. Racketeering convictions in calendar 1960 totaled 45. That increased nearly 700 percent by calendar 1963 when there were 288 convictions. And in calendar 1964, we convicted 546 racketeers, twice the number of the previous year and more than 10 times the number in 1960. These convictions-for gambling, narcotics, bootlegging, labor-man- agement racketeering, official corruption, and other forms of orga- nized crime-are the work of many hands. The 26 different Federal law enforcement agencies who share in this effort deserve our thanks. But this is a battle which is far from won. If there is any single answer to the corrosion of our society by racketeers, it is in continued and increased day-to-day vigilance. This effort will continue un- diminished. There is a, parallel national concern, not only for racketeering crime but for crime in general. The chief responsibility for general law enforcement in our system rests, of course, on State and local author- ities. But we are working to intensify and expand the assistance which the Federal Government can offer to those authorities. This is a subject to which President Johnson is devoting urgent attention and on which he will have more to say shortly. In the field of civil rights, 1964 was an extraordinarily important year for two major reasons : One, of course, was the enactment of the historic Civil Rights Act of 1964. The second reason is the extraor- dinary level of compliance with the act which was demonstrated by the great majority of the people of the South.. Even where disagree- ment was strongest and emotion most intense, the people of the South, by and large, obeyed. I do not mean to minimize the scope or the complexity of the prob- lems which remain. No single statute can redress wrongs so deep and so long lasting. There is much to be done. Within the Department we have suffered the great loss of Burke Marshall as Assistant Attorney General in charge of the Civil Rights Division. It is rare to find men in whom brilliance is coupled with such understanding and sensitivity. At the same time, we may count ourselves fortunate that we had a lawyer and gentleman of the cali- ber of John Dour to take over. And I particularly wish to state my confidence that he is an effective leader and administrator, as well as an exceptional trial lawyer. We still are not fully staffed in the Civil Rights Division but hope to be shortly. We are taking pains to find attorneys of the ability- and, I might say, the stamina-necessary for work in this field. I am particularly delighted to report .to you on the accomplishments of the Lands, Civil, and Tax Divisions, the three Divisions which Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 handle most of our general legal work. They did more new work; cut the backlog of old work; brought in more money ; and (lid all this without significant increases in personnel. I would like to commend to your special attention the achievements of the Lands Division. I do so not only because of a superb record, but also because of the path followed by its Chief. The Lands Division saved over $300,000 in its $3.5 million budget for the third consecutive year. The Division voluntarily requested a 5200.000 budget reduction for fiscal 1905 and called for a 10-percent reduction in manpower to the lowest level since 1939. What do you do with a fellow like Ramsey Clark ivlio, in a con- tinually expanding government, com piles that kind of record? You ask him if he wants to be Deputy Attorney General. To my very great. satisfaction (and consideriWeis that record, I suspect to your great. satisfaction), he accepted. an able attorney and adminis- S trator, and a valued colleague. There were similar accomplishments in the Civil Division of the Department whichturned over almost &13 million to the U.S. Treas- ury as the result. of successful litigation. This substantially exceeded the high in any previous year-a. gain accomplished with no increase in manpower. The Tax Division set new highs in cases closed, trials conducted, civil eases won, criminal cases won, and collections from delinquent-tax payers. 4Tew cases exceeded 10,000 for the first, time in the 30-year his- tory of the Division. And the Division not only kept up with these, but. was able to reduce the backlog of all cases. This record is, in large part, the result of very able personnel. As you know, we are seeking to obtain younger lawyers and encourage than to make a career in government.. And, thus, you will note we are again requesting your consideration for the Tax Division promo- tion plan, costing $100,000, which was submitted last year. The Bureau of the Budget. has approved this plan in principle. My colleagues will be here to discuss their responsibilities in detail, but I will be pleased to answer any questions the committee may have now. Mr. RooNilr. Yes, Mr. Joelson? Mr. Joi;isoN. I have no questions, I would just like to say that the Attorney General and I are fellow New Jerseyites. Mr. Ro0N nr. I take it that is the reason you wanted the photograph this morning? Mr. Join oNT. Yes. And we also have a Secretary of Commerce from New Jersey, which proves Texas is not the only State in the Union. I have no questions. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Mr. SINES. Do you think it is wise to call attention to a matter of that kind? It is a challenge; is it not? Mr. ROONEY. Were you here Thursday? Mr. JOELSON. Yes. Mr. ROONEY. It was indicated that Texas is not the only State in the Union. PERSONNEL ON LOAN TO OTHER AGENCIES Mr. CEDERBERG. How many personnel do you have in the Justice Department on loan to other agencies? Mr. KATZENBACJI. I could not give you an exact figure on that. It comes up rarely, in individual cases, that we loan a person. either to another agency of government or sometimes to, a State. I think it was a year ago we loaned an attorney to try a very complicated securi- ties case. It was a State matter in Alaska. and they had no one famil- iar with that. They paid for his services. He was there 3 or 4 months. Ocasionally we have loaned people. Mr. Clark was loaned to the President for 3 or 4 weeks to help out in the White House just before Christmas. Mr. CEDERBERG. Would you insert in the record the loans of person- nel and the agencies to which they were loaned? Mr. KATZENBACT-I. Yes. (The information follows:) Employees loaned to other agencies Name Division Position Grade Salary Loaned to Gerald F. Charig-------- Office of Alien Attorney ---------- 14 $16,130 Fore gin Commission. --- Thomas Cotter Internal Administrative 13 13,775 Department of the ------- Security. officer Treasury. Ruby M. Mighall________ ----- do---------- Clerk ------------- 6 6,245 Do. Frances J. Scopoletis--__ _____do__________ do ----- do------------ do 6 5 6,245 5 165 Do. Department of State, Barbara Duras__________ _______ Helena Lopez ---------- ----- ---- _do---------- ------------ ----- ----- do------------ 4 , 4,480 Department of Defense. ____ Elizabeth Cope --------- Administrative- ----- do------------ 4 5,530 White House Office. Sandy Watson ----------- Criminal. ------- ----- do------------ 3 4,005 Do. Mr. CEDERBERG. That is all I have, Mr. Chairman. Mr. ROONEY. If there are no further questions, gentlemen, we thank you, Mr. Attorney General. Mr. KATZENBACII. Thank you, Mr. Chairman. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 10 SAL RIIES AND EXI'E SES, GENERAI, A) IVNISTILVTIt)X RAMSEY CLARK, DEPUTY ATTORNEY GENERAL J, C. BROWN, CHIEF, BUDGET AND ACCOUNTS OFFICE JAMES VORENBERG, SPECIAL ASSISTANT TO THE ATTORNEY GEN- ERAL, DIRECTOR OF OFFICE OF CRIMINAL JUSTICE Object classification fill thousands of dollars) 1054 actual 1965 estimate 1966 estimate II.I Personnel compensation: Permanent positions ..... ..................... ........ 3,836 4,267 4 590 11.3 Positions other than permanent ....................... 38 30 , 16 I1.5 Other personnel compensation ...................... . Tot:dpersonnel compensation ..................... . 3,913 303 4 9 606 I )irect costs: I'ersonnelcompensation ............................... . 3,817 , 4,2&7 , 560 4 12.0 Personnel benefits------------------------------------- 290 309 , 330 21,0 . Travel and transportation of p rsons-------------------? 98 115 126 .1.0 33 0 Transportation of things -__---------------------------- Rent commu i ti d ili i ........ ------ 1 1 . , n et, es ............. ons, an ut t 102 125 '4.0 Printing and reproduction ------------------------------ 33 52 53 25.1 Otherservices ---------------------------------------- 60 59 59 25.2 Services of other agencies------------------------------- 11 12 12 2.0 Supplies and materials, ----- ........................... 41 60 61 31.0 Equipment: Accessions- ------------------------------------- ------ 12 15 15 Continuations ------------------------------------ 110 94 115 Other ............................................ ---..- 19 ( 46 f1R Total direct costs -----------------------------------~ 4,629 5,1:>3 ! 5, 525 Reimhursahle costs: Personnel compensation--?-_---?-----?-------.:.-..,. 12.0 Personnel benefit,,. ...............?_-__--?------------- Total reimbursable costs------------------------------ 50 Total costs, funded----------------------------------- 4, 679 5,172 04.0 Change in selected resources ---------------------------- 18 9q. 0 Total obligations______________________________________ Pcrsonncl su,ewiary Total number of permanent positions ........................ b53 575 599 Full-time equivalent of other ta+sitlons ........................ 5 1 1 Average number of all employees ............................ 544 549 576 Average US grade ............................................ 7.0 7.0 7.1 Average GS salary ......................?........._.....,... $7, 272 $7, 804 4 029 Average salary of ungraded positions .......................... A 585 S5, 585 $5, 585 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 11 Program and financing [In thousands of dollars] 1966 estimate Program by activities: Direct program: 896 1 012 175 1 --------------------------- ecutive direction E 1 , , ------- x . Administrative review and appeals__________________ 2 898 1,004 1,164 . 3. Administrative services------------------------------ 2,835 3,106 3,186 Total direct costs----------------------------------- 4,620 5,122 5, 525 Reimbursable program: 50 50 50 3. Administrative services------------------------------ Total program costs, funded----------------------- 4,679 5,675 Change in selected resources I_____________________________ 18 10 Total obligations------------------------------------- 4,697 Financing: 13 Receipts and reimbursements from trust fund accounts _b0 (78 Stat. 717)-------------------------------------------- 25 Unobligated balance lapsing______________________________ 13 New obligational authority--------------------------- 4,660 5,122 New obligational authority: 4 660 850 4 ropriation -------------------------------------- 40 A , . , pp ------ 44 Proposed supplemental due to civilian pay increases______ ______________ 272 Relation of obligations to expenditures: 5 875 ---------------------------- 10 Total obligations - 4, 697 5,172 , ------- 70 Receipts and other offsets (items 11 17)___________________ -60 -50 0 ations affecting expenditures-------------------- 71 Obli 4,647 5,122 5, 525 g start of year--..------------------------ ated balance 72 Obli 293 344 386 , g 74 Obligated balance, end of year---------------------------- -344 -386 -611 77 Adjustments in expired accounts-------------------------- 6 90 Expenditures excluding pay increase supplemental____ 4, 826. 5,282 91 Expenditures from civilian pay increase supplemental- 254 18 I Selected resources as of June 30 are as follows: Unpaid undelivered orders, 1063, $22,000; 1964, $40,000; 1965, $40,000; 1066, $40,000. Mr. ROONEY. The first of the items which make up the budget of the Department of Justice is entitled "Salaries and expenses, General Administration" and is to be found at page 81 of the committee print. The justifications in regard thereto are to be found under tab 1 of the justification book. We shall at this point insert in the record pages 2-1 and 2-2 of that book. (The pages follow:) Summary analysis of estimate In thousands Appropriated, 1965-------------------------------------------------- $4,850 Proposed pay act supplemental--------------------------------- ---------------------------------------- 272 Appropriation, 1965 (adjusted) --------------------------------- 5,122 Estimate, 1966------------------------------------------------------ 5,525 Increase, 1966 over 1965--------------------------------------------- 403 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 12 Analysis by activities 1905 requirements 19611 estimate Attorney General ............................................. $4 400 Deputy Attorney General... ................................. 688, 700 , 158 300 843 000 Pardon Attorney ............................................. 95,800 ' , 102 400 Board of Parole --------------------------??----?---?--.... 576, 900 134 700 , 711 G00 Board of Immigration Appeals. ............................... 331, 800 , 4,200 , 000 336 Library----------------------------------------- NO, 300 24,100 , 824 400 Administrative Dlvision .................................... 2, 855, 500 72, 700 , 2,028,200 Subtotal ................................................ 5,172, 000 5 675 000 Less reimbursements, OSiee of :flllen Property................ -50,000 , , 50,000 Total, direct obligations ................................ This appropriation finances the cost of overall executive direction and admin- istration of the Department of Justice, It also provides funds to support the activities of the Office of the Pardon Attorney, the Board of Immigration Appeals, and the Board of Parole. The following activities arecovered by this Item : Executive direction : Office of Attorney General. Office of Deputy Attorney General. Administrative reviews and appeals: Office of Pardon Attorney. Board of Parole. Board of Immigration Appeals. Administrative services: Administrative Division. Library. The 1906 estimates provide for the additional cost in that year of the 1964 pay act increases and other statutory personnel costs. Funds are also requested to finance the operations of the newly created Office of Criminal Justice under the Deputy Attorney General and additional staff for the Board of Parole to assist with heavier workloads involving additional hearings and reviews. Mr. RODNEY. These p~aages indicate that the. request is in the amount $5,525,000, which would mean a requested increase of $05,000 over the amount appropriated in the current fiscal year. OFFICE OF TIIE ArrORNET GENERAL The first of the subitems is entitled "Office of the Attorney Gen- eral" and the details in regard thereto are to be found wider tab 3 of the justification book. We shall at this point insert in the record pages 3-1 through 3-3 of the ification book. (P11161 pages follow:) 15 Ofce of the Aitorncy General Appropriation, 1905------------------------------------------------ $'x,0,500 Proposed pay act supplemental------------------------------------- 28.500 Appropriation adjusted, 10G5 --------------------------------- 3?.',, 000 Estimate, 1960---------------------------------------------------- 330,100 Increase---------------------------------------------------- 4,100 This is the office of the Cabinet officer in charge of the Department of Justice and the chief law officer of the Federal Government. Upon request be gives legal advice and opinions to the President anti beads of the executive depart- Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 13 ments of the Government. The Executive Assistant to the Attorney General and the Director of Public Information are attached to the Office of the Attorney General and report directly to the Attorney General. AMOUNT REQUESTED It is estimated that an appropriation of $329,400 will be needed to support the activities of the Attorney General's immediate office in fiscal year 1966. This is $4,400 more than the total required for 1965, all of which is needed to meet the cost of statutory pay increases. Since the Office of Attorney General is presently vacant and a new Attorney General probably will not be appointed until January 1965, this budget is based on the existing organizational plan and the most recent financial requirements of the Office. The requested increases are for the following purposes : Costs due to statutory provisions : Step increases due in fiscal year 1966----------------------------- $3,700 Additional cost of 1964 Pay Act in 1966--------------------------- 400 Personnel benefits related to above------------------------------- 300 Total--------------------------------------------------------- 4,400 Mr. ROONEY. The inserted pages indicate the request is in the amount $329,400, an increase of $4,400 over the base figure. The three items which make up this requested $4,400 increase are set forth on page 3-3, and are all due to statutory provisions. Is that correct? Mr. BROWN. That is correct, sir. OFFICE OF THE DEPUTY ATTORNEY GENERAL Mr. ROONEY. The second item is entitled "Office of the Deputy At- torney General" and the details in regard thereto are to be found at tab 4 of the justification book. We shall at this point insert in the record pages 4-1 through 4-7, which indicate the request is in the amount $843,000, which would mean a requested increase of $156,300 over the 1965 adjusted appro- priation. (The pages follow:) Office of the Deputy Attorney General Appropriation, 1905----------------------------------------------- $640,000 Proposed pay act supplemental------------------------------------- 46,700 Appropriation adjusted, 1965 -------------------------------- 686,700 Estimate, 1966---------------------------------------------------- 843,000 Increase----------------------------------------------------------- 156,300 The Deputy Attorney General as the second ranking officer of the Department assists the Attorney General in the overall supervision and direction of the De- partment, including coordination of the activities of the departmental divisions and other units. In the absence of the Attorney General, he is the Acting Attorney General. This office handles all legislative matters and is the Department's chief liaison with the Congress and State and Federal departments and agencies. It formu- lates or approves departmental policies and programs, and oversees their execu- tion ; prepares, for the consideration of the Attorney General, recommendations for Presidential appointments to judicial positions and positions with the Depart- ment ; and handles the recruitment and appointment of attorneys. The Executive Offices for U.S. Attorneys and U.S. Marshals are part of this office. Legislative proposals of the Department of Justice are drafted and cleared as are reports and recommendations relative to pending legislation originating else- where in the Government. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 14 AMOUNT REQUESTED It is estimated that an appropriation of $S-13.000 will he required for this office for the fiscal year 19011. This is an increase over 1005 of $1,16,300 of which $10,600 is needed to meet the cost of statutory provisions relating to employees' compensation, and $145,700 is requested to staff and operate the c)flice of Criminal Justice established by Attorney General Kennedy in August 1904. The details are as follows: Cost of statutory provisions: Additional costs In 19011 of 1901 Pay Act_______________ $600 Step increases due in fiscal year 19GG__________________ 0,300 Personnel benefits related to above-------------------- 700 $10, 000 Office of Criminal Justice, additional staff and facilities: Salaries : 4 CS-15 attorney-------------------------------- $115, S-10 1 OS- 14 attorney --------------------------------- 14,170 1 GS--13 attorney--------------------------------- L, 073 1 GS--I1 attorney-------------------------------- S, G;,O 1 GS- i) attorney------------- 7 22 1 GS-7 clerical-------------------------- ------- 6, 0,;0 1 GS- G clerical----------------------------------- 5, 505 2 GS 5 clerical at $5,040-------------------------- 10,000 Total------------------------------------------ 129,510 Less 2 months lapse----------------------------- 19,510 Total salaries------------------------------------------- 110,000 Benefits 7V percent---------------------------------- 8,600 Travel------------------------ -------------------- 1,000 Rent ($1,000 multiplied by 12 divided by n)---------- 10,000 Communications ($278 multiplied by 12 divided by 2,500 Printing and reproduction---------------------------- G00 Supplies ($50 multiplied by 12)----------------------- G00 Equipment ($2500 multiplied by 3 directors and asso- ciate directors equals $7,500; $375 multiplied by 5 attorneys equals $1,865; $700 multiplied by 4 clericals equals $2,800)------------------------------------- 12,100 145, 700 Total increase--------------------------------------------- 150,300 It is estimated that .14,5,6,01) will he needed to employ a staff of 12 and operate the Office of Criminal Justice during the fiscal year 190G. The Office of Criminal Justice was created as a part of the Office of the Deputy Attorney General by Attorney General Kenued.v In August 1904. Its creation coincided with the enactment of the Criminal Justice Act of 196.1, and one of tho responsibilities of this office is to assist with [lie implementation of that apt. An additional responsibility of the office is to press further the work of the Attorney General's Committee on Poverty and the Administration of Federal Criminal Justitr which submitted its r(Txort to the Attorney General In February of 1963. A number of the proposals of that Committee require continu- ing action within the Department. A closely related responsibility of the Office of Criminal Justice will be continuing work on bail reform in the Federal system and cooperation toward this end with persons responsible for the administration of bail within the States, The Office will examine a wide range of areas within the administration of criminal law where construtive action is possible to Improve the quality of justice consistent with the urgent needs for law enforcement. The scope of its re onsihility extends from arrest and procedural problems before trial to the sentencing, pa role, and probation areas. It is anticipated that In carrying out Its functions the Office will work closely with various branches of the Department of Justice and other parts of the Federal Government concerned with criminal law, as well as with State officials, private and professional groups, universities and other groups and Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 15 individuals concerned with criminal law administration. Indeed, it is an im- portant function of the Office of Criminal Justice to provide a means: for bringing together the views-too often sharply divided-of those involved in various ways in the administration of criminal law, and to consider and propose soundsiolif-tionsi to problems in the field. GENERAL STATEMENT Requests from congressional committees, the Bureau of the Budget, and miscel- laneous sources on legislative proposals and bills introduced continue in great numbers. As of August 31, 1964, the Department received 1,637 requests for comment on public legislation and 168 requests on private legislation for a total of 1,805. In -addition, the volume of inquiries: received from individual Members of Congress and 'the public continues to soar. The Executive Office for U.S. Attorneys during fiscal year 1964 continued its drive to reduce the heavy load of spending cases in the U.S. attorneys' offices. There was also, a concentrated drive in regard to, collection matters which resulted in a great increase in the amount of money collected. Attorneys from the Executive Office visited and inspected 44 U.S. attorneys' offices during the fiscal year to, render operational assistance and advice, with special emphasis on collection procedures and review of pending matters and cases, During the year the Executive Office processed. 190 appointments and 153 resignations of assistant U.S. attorneys. The Attorney General's recruitment program for honor law graduates was administrated by this 'office and the Attorney General's annual report was edited by the staff. The Executive Office for U.S. Marshals exerted every effort during fiscal year 1964 to improve management and administration at the district level. In this connection, training classes for chief deputy U.S. marshals were! initiated, and the program of training classes for deputy marshals was continued. The Execu- tive Office planned and supervised 'these training classes. Plans were formu- lated for holding the first national conference of U.S. marshals in Washington in August 1964. Accounting clerks of various mars'hals' offices attended a pilot administrative workshop in Washington, D.C. It is contemplated that more of 'these classes will be conducted in fiscal 1966. The organized crime and civil rights issues continued to present emergency situations in various parts of the country. Attorneys from the Executive Office went to these locations where they coordinated and directed operations and supervised the deputy marshals assigned to the areas. During the year, the Executive Office -prepared and pub- lished revisions to the U.S. Marshals' Manual and the Training Manual. Public Private 80th ---------------------------------------------------------- 983 656 1 639 81st ------------------------ 1 038 688 , 1 726 82d , 945 498 , 443 83d- ------------------------- 1090 227 1 1 317 84th 1, 223, 167 , 1 390 85th 1 225 224 , 1 449 86th = , 1395 151 , 1 546 87th -------------------- 1., 795 161 , 1 956 88th 1,423 169 , 1,592 I Exclusive of requests disposed of other than by report to a congressional committee or the Bureau of the Budget through 86th Congress, OFFICE OF CRIMINAL JUSTICE, Mr. ROONEY. The increases are set forth at pages 4-1 through 4--3 of the justifications book. The largest increase appears to be in the so-called "Office of Criminal Justice," $145,700, which would entail the addition of 12 positions to the payroll. It appeared from the statement of the Attorney General that this Office is already in operation. Is that correct ? Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 16 Mr. CLARK. Ir is already in operation on a somewhat limited basis; yes, sir. Mr. RooxFI-, Were funds ever requested of the Congress for this activity? Mr. Tlw wx, 'o, sir, not up to this time, Mr. Chairman, Mr. Roo iTiw, And you have a very large office down there entitled "the Criminal Division," doyou? Mr. BROWN. That is correct.. Mr. RooNFV. But this would be superimposed on the Criminal Division. Is that a fair statement ? Mr. CLARK, I would not think of it. as a superimposition; no, sir. Mr, RuoxEv. What would you call it, Mr. Clark? Mr. Cr.muc. T would call it a new service that the Department needs to render and hopes to render in the field of criminal justice. We have (he 1t1G4 Criminal Justice Act, we have thebail reform program, and we have the President's program on poverty and the administra- Lion of criminal justice. I look upon it as a constructive program in crime, as an initiative program in crime, It will work on matters re- lating to criminal justice with the several divisions in the Department of Just ice that are involved in criminal work, Mr. Boo:~FT. How many people, do you have on the payroll in this Office now? Mr. CL=ARK. It is a loan operation at the present time. There is no specific payroll for this Office. I think there are five full-time lawyers. Mr. VoRFNIBER . Five lawyers and two stenographers on a full-time basis and I am on a part-time basis. Mr. IioUX Fv. Where did you get. the money far them ? Mr. Brow-,. Mr. Vorenlrerg is Director of the Office and the lawyers are on loan from the Legal Division. r. BonNFT, Is Mr. Vorenbcrg the one mentioned in the Attorney, General's statement? Mr. BROWN, Yes. Mr. BonNFF. lle is working only part time? Mr, BRnwti. Yes; and lie is the only employee other than those on loan from other divisions. Mr, Tlno-. FV, What divisions? Mr. BROWN. The Criminal Division furnished one or two and the Antitrust Division one, I believe. Mr. VORENnrFRC. The three stenographic people are on the payrolls of the Antitrust and Civil Divisions. Mr. ROONEY. Please insert at this point in the record the, title, of the positions, the amount of salary, and the divisions from whence they came. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 17 (The information follows:) , List of employees loaned to Criminal Justice Unit in Office of Deputy Attorney General Attorney ------------------------------ $17, 600 Antitrust Division. ----- Do ------------------------------ 14,170 Criminal Division. -------- Do ----------------------------- 10, 2,50 Do. -------- Do ------------------------------- 7:220 Lands Division. ------- Do ------------------------------- 7,220 . Do. ------- ---------------------------------- Clerk 6,825 Antitrust Division. ----- ----------------------------- - Do 5,000 Do. - ------- Do-------------------------------------- 6,156 Office of Alien Property. Mr. FLYNT. Mr. Chairman? Mr. ROONEY. Mr. Flynt. IMPLEMENTATION OI' CRIMINAL JUSTICE ACT OF 1064 Mr. FLYNT. As I remember, the administrator of the courts dealt at length with the subject of the implementation of the Criminal Justice Act of 1964. I would like to ask Mr. Clark if I am correct in under- standing him to say this activity would be in addition to that of the administrator of the courts in regard to this implementation? Mr. CLARK. Yes. We would be working primarily through the U.S. attorney's offices2 whereas the administrator of the courts would be working on the judicial side. That is my understanding of it, The administrative office would handle the money, as I understand it, for the actual payment of attorneys appointed to serve. Is that right, Jack? Mr. BROWN. That is correct. Mr. FLYNT. Is it your understanding that the U.S. attorney's office in each district will play a dominant role in the activities of the im- plementation of this act? Mr. CLARK. No, sir; it is not a dominant role at all. They would be on opposite sides of the cases as they came up but there will be in many districts presumably more lawyers representing defendants on the other side. Mr. ROONEY. How many people are going to direct this program? Mr. CLARK. The Criminal Justice Act would be only one matter that this Office will deal with, and as it begins implementation it would seem to me most important that we watch carefully to make sure it is put into effect as efficiently and as effectively as possible. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 18 X U3[BER OF DIRECTORS Mr. RooNEY. What is the meaning of the reference with regard to equipment at. page 4-3 of these justifications-equipment $:?,500 times three Directors and Associate? CLARK. This is presumably office equipment for these people, and the three Directors are an error. Mr. BI,Ow:. One Director and two Associates, three altogether. Mr. Roo:cEF. Three Directors and one Associate would be four, would it. not? Tit is says "three Directors and Associate," Mr. Bnow. That is bad language. It should be one Director and two Associate Directors making a total of three. ;1fr. RODNEY . Is that provided in the un(lerl~ ing law? Mr. Boon . l D, sir, This i an internal organizational niafler. ;air. ROONEY. Why three? Why not two? Mr. NowN. Professor Vorenberg can probably answer that. air. ROONEY. Professor, what about this? Mr. A'ORENBERC. Our assumption was that the nature of the work of this Office made it imperative to have a Director and two Associates who might he, responsible for the criminal areas. Mr. Pf)ONEY. WW'hy ? Mr. VorE:,-BERG. One of the problems in setting up Ibis Office is that it does not have line functions. Its role is to explore in areas where the Department can mike a significant contribution in improving the administ rat ion of criniinal just ice or law enforcement. Mr. RooNEa=. Be a bit more specific. Y nu are too general at this point. air. VoRE BrRO. Take an area such ss Mr. Clark has just mentioned, the implementation of the Criminal Justice Act. Congress, when it passed the Criminal Justice Act, specifically imposed on the Justice Department the responsibility of coming bark to the Congress after it, had been in effect, and advising whether the public defender option should have been included, This requires that we work with the Ad- ministrative Office of the Courts and the individual judges to try to set up a plan to evaluate how the act works out in its first few years. This whole area has been assigned to one of the Associate Directors of the Office. At (lie present time. the Office only has one Associate Director. The other position has not been filled, Mr. RooN-rv. Now does this business of two Directors and an associate or two associates and a Director come up in this budget, on your recommendation? fiir. VORENIETIG. On file combined recommendation of the Attorney General and myself on how a small office that would have the respon- sibilities (his Office would have could hest operate. Mi'. Roo:xi;l. Let. Isle get. this straight. There will be one Director and two associates? Yes. Mr. Rooxi:y. That is three Directors? :air. VORENt;UW. 'es. Mr. Rooxi;v. And flow many Indians under these chiefs? air. VuIIENnERo. The present budget dills frur five. air. Roos r.~~. Three Direct on, out of eight people? Mr. Ilenwx, Twelve people. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 19 Mr. RooNrv. I understood you were asking for 12 people? Mr. BROWN. Yes, four clerks. Mr. CLARK. The Directors are just names in a sense. They will be GS-15's. Mr. VORENBEPG. That is right. Mr. Roomw. You mean you would have four GS-15's set up in this budget at the basic cost of $65,840? Mr. BROWN. That is correct. Mr. CLARK. And two of those would be associates. Mr. ROONEY. Are there any questions with regard to this unusual setup? ATTEMPT To JUSTIFY REQUEST Mr. Bow. I have a question, Mr. Chairman. I have not heard any- thing yet to justify this amount of $145,700. All I have heard sug- gested so far is that this Office will make a study of the question of public defender, and the Administrative Officer of the Courts is set up to do that, too. I would like to, know more about that. What is back of this whole thing of-$115 000?, How can you justify it? From what is on the record now there is no justification for it. Mr. VORENBERG. May I explain that? Mr. Bow. Yes, I would like somebody to explain that to us. Mr. VOR.ENBERG. I think the theory of having an office of this sort is that at the present time there is no person or group within the De- partment that has as its. responsibility to examine possible changes or improvements in Department procedure. . Mr. ROONEY. That surely is a devastating statement. Mr. VGRENBERG. I am in the middle of a statement. Mr. Bow. What Department are you talking about? Mr. VoRENBERG. In the Department of Justice. There is no group in the Department that has as its sole and primary responsibility a continuing evaluation of the Department's procedures in the area of criminal justice, or of seeking new ways that the apparently conflict- ing interests of improving the system of criminal justice can be reconciled with law enforcement; and with the added urgency that has been put on this problem by recent court decisions, by legislation of the Congress, and by increasing public concern in the amount and levels of crime and its impact, it seemed to the.Attorney General it Was important to'have a group that was not concerned with the day- to-day prosecution of cases but rather could be in this role of a policy evaluator or policy planner. Mr. Bow. What policy, Professor, are we going into? Mr. VORENBERG. Well, we talked about only one and that is the problem of implementing the Criminal Justice Act. The Department has embarked. upon a very broad program of bail reform, including the Attorney General's Conference, last May, the Attorney General's National Conference on Bail, which has lead to bail reforms all over the `cotmtry. Mr. Bow. This was done before this Office was set up. You were able to do that in the Department. Mr. VORENBERG. One of the things that has become clear since that Conference is that the only way the bail reform project could go for- ward in the States was to have some organized group responsible for carrying that work forward. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 20 Mr. Pow. In other words, the Attorney General's Office will try to tell [lie. States what to do in bail reform? Mr. VoRENmmm, Not telling the States what to do but offering the services of people who have worked on the problems of bail reform to State and local groups who are themselves considering bail reform. For instance, last month there was a six-State conference in Louisville on bail reform and the right to counsel and the Department, through our Office, assisted in the planning of this conference and made people available to help in carrying out the conference. This is an assistance role. and not in any sense trying to tell the States what their procedure should be. At the Federal level there is the problem of preparing some legis- lation to carry out the bail policy of the Federal Government and trying to increase releases on recognizance and decrease the costly and unfair holding of suspects awaiting trials. One of the tasks of our Office has been to help in drafting this legislation. Since the Office was established we have been working with the U.S. Attorney's Office in the District of Columbia to try to re are it proposal to meet what I suppose. is generally known as the prepare problem in the District of Columbia, to try to reconcile the. needs of the police for interrogation with the rights of individual defendants once they have been arrested. This has been very time consuming since it has required us, I think for the first time, to understand what the police here do need, to understand their operations and what time they need for interrogation and what type of procedures they need. This has taken the time of one of the lawyers in our Office for weeks. We are also working on several other projects in the criminal area, including the President's various programs on crime, which I would be glad to discuss. Mr. Bow, Professor, how much time do you spend on this? Mr. VORENBERG, I am here an average of about 2 days a week. Mr. Bow, Are you working on a. per diem basis? Mr. VORE ,'BERG. Yes, sir. :fir. Bow. What is your per diem? Mr. VORENBERG, $100 per day. Mr. Bow. Do you intend to continue in the capacity as head of this office? Mr. VORENBERG. Of course it is not entirely within my control. I am very interested in the work of this Ofliee. I think it is an ex- tremely important innovation in tlie. Federal Government. It is one that many people concerned with criminal law and law enforcement have called for for sometime. Mr. Bow. Give us some idea, of your background and practical experience in this field? Mr. VORE\`BERG. As the Attorney General said, I teach criminal law at the Harvard Law School. Before that I _practiced law, not as a criminal lawyer though I did a little criminal law work. Mr. Bow. !here was your practice? Mfr. VORENBERG. In Boston, Mr. Bow. How long did you practice I Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 21 Mr. VORENBERG. For 8 years. Before that I was a law secretary to justice Frankfurter and before that I worked 2 years in the Air Force General Counsel's Office. Mr. Bow. At the present time you are associated with the faculty at Harvard? Mr. VORENBERG. I am a professor at the Harvard Law School. Mr. Bow. Thank you very much. Mr. ROONEY. Mr. Cederberg? STATUS OF OFFICE OF CRIMINAL JUSTICE Mr. CEDERBERG. Was this Office established pursuant to the passage of the Criminal Justice Act? Mr. VORENBERG. It was not embodied in any sense in the Criminal Justice Act. Mr. CEDErBERG. But if the law had not passed would you still have an Office of Criminal Justice? Mr. VORENBERG. It is hard for me to say because I was not here. I think the two principal things that gave impetus to the establish- ment of the Office were the passage of the Criminal Justice Act and the report of the Attorney General's Committee on Poverty and the Administration of Federal Criminal Justice. Whether it would have been created without these two things, I do not know. There was a growing concern that there was a failure of communication between the two sides in law enforcement and criminal law, and there was a suggestion made in the Department that it would be helpful to have an office that could play a middle role. It is speculation on my part to say if it would have happened had the Criminal Justice Act not been passed. Mr. CEDERBERG. Is this to be a temporary or a permanent office? Mr. VORENBERG. I think the Attorney General envisions it as a permanent office. Mr. CEDERBERG. We had testimony earlier from the administrator of the courts and from the judiciary itself indicating they had the prime responsibility in the implementation of the Criminal Justice Act. As a matter of fact, I am not sure but I think they had some money in the budget to investigate how well it is being administered from the point of view of the payment of attorneys who will be de- fending clients under this act. To set up another Office of Criminal Justice on a permanent basis is a little hard for me to understand. In other words, I have no quarrel with you if you want to look into the necessity of some uniform bail procedures or some of these things, but it seems to me you could pull ft committee together, make a study, and then disband the committee. I see no reason for a, permanent organi- zation. The justification, from what I have heard so far, is that what you need is to borrow attorneys and make the investigation within the Department. You are asking for eight attorneys, and it would appear to me maybe you do not need an attorney, but a good budget officer and an administrator could look into these things along with an at- torney. I shudder at the establishment of a permanent division. If you were doing this for 1 year to study these questions while the act is under review for the first year or two of operation, I could under- stand it, but I do not understand the permanency of the office. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Mr. Rooxrr. will you kindly yield? lG by Federal dtsiriet judges is the following lelmer from the presiding judge in ill(- Northern laistriet of IllhroIce tCleii'agoa written im- medial.-lv after the tIr,t special docket was enllert: "I should have written you before now to (ell von that we are reds pleased with the Initial run of our pretrial docket on tics cases- tnd''erl. even do- nice judge who objected to the procedure, now seem, enthusiasts' about it. ' ' " I think it only fair to observe that the sncress of the pretrials was due In large measure to the excellent representation which you had at the coaferenees." '+A procedure which permits the Tax Division to dispose of cases without reference back to the Revenue Service. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 67 of compromise offers and appeals) ; (3) enlarge the SOP category of Gases which can be settled by the Department without reference back to the Service; (4) submit promptly recommendation on appeal, sending an advance copy of the action recommendation before final approval, The time limits in the Depart- ment of Justice (in trial and appellate sections, in the front offices, and in the Solicitor General's Office) were cut sharply and controls installed to assure com- pliance. These new procedures, which are only outlined briefly above, should not only assure meeting court deadlines but should (1) save time, effort, and money required to obtain extensions to file pleadings; (2) reduce the number of amended answers; (3) reduce attorney and secretarial time in conducting correspondence, keeping record controls, etc., in a growing percentage of cases which will be classified SOP; (4) cut interest costs to the Government due to the simultaneous processing of offers and appeals; (5) reduce travel costs by permitting better and earlier scheduling of trips to conduct discovery and pretrials (combining cases, concentrating lawyers' time, etc.) ; and (6) reduce protective docketing of appeals during the time the Government is making its final decision as to appeal, (b) Fort Worth field office.-Based upon the substantial record of accom- plishment in expediting the handling of refund suits, the operations of the Port Worth office were continued during this fiscal year and the office was staffed with six attorneys and four clerical personnel. Emphasis in the current year was placed upon insuring closer coordination of the work of the field office with that of the rest of the Division and obtaining more efficient day-to-day control of its operations. Administrative adjustments accomplished during this year con- tributed substantially to the reaching of these goals. It is anticipated that the operations of this office will continue through the fiscal year ending June 30, 1965, and that further improvements in these directions will be realized, (c) Pretrial briefs.-During fiscal 1964 there was established the practice, where possible, of filing an informal brief prior to trial of refund suits. This has proved helpful to the trial attorney as well as the court. It sharpens the analysis of the legal and factual issues to be litigated and results in better trials. Brief instructions have been revised to greater flexibility in the form of trial briefs and to permit the attorney to tailor the brief to the subject matter and the wishes of the individual trial judge. (d) Closer substantive control of tax litigation.-A continuing problem in tax litigation is insuring that positions taken by the Government are in its long-term interest. Too often in the past the Government has yielded to the desire to win a specific case without regard. to the long-range implications of its position. It is also vitally important that arguments presented in court be consistent with published revenue regulations and rulings. In order to formalize the control of these matters, the Tax Division instituted a change in the checklists required to be completed by each appellate attorney. Henceforth each attorney will be required to indicate in writing whether the Government's position conflicts with any published ruling or regulation and also that in the opinion of the attorney the Government's position should be defended. It is hoped that this. pinpointing of troublesome cases at an early stage will enable us to avoid making arguments which may diminish the respect with which the Government is held by courts and to minimize bad decisions for or against the Government which may come back to haunt us. The Chief Counsel of Internal Revenue has been aggressively pursuing the same point with his larger and decentralized staff. There have been a number of conferences between our two Departments which have been marked by a new willingness on the part of Revenue to make clear and timely decisions on the course of litigation in light of long-range goals 15 15 An example of. what can be accomplished when attorneys in both offices are alert to difficult areas was the recent handling of an educational expense deduction case. One of the issues involved in Davis v. Commissioner (C.A. 9th) was whether the taxpayer, a professor of English at Pomona College, was entitled to take a so-called educational expense deduction for research conducted in England in his specialty. The Tax Court disallowed the deduction and the taxpayer appealed, The Tax Division was instrumental in effecting a conference at which representatives of Treasury, Service, Justice, and the teaching profession agreed upon a position on the merits subsequently embodied in Revenue Ruling 63-275, 1963-2 Cum. Bull. 85, which is generally regarded as a significant develop- ment in the educational expense area. The ruling recognizes research as an inherent function of the teaching process at the college and university level and permits deduction for research expenses where the research is substantially related to the field of expertise of a given professor. The Davis case was remanded to the Tax Court which entered a no-deficiency decision in accordance with the stipulation of the parties. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 68 (c) Reorganization of General Litigation Section.-At year's end, and after careful and lengthy consideration, the General Litigation Section was divided Into geographic and functional units. This Section, which handles civil collec- tion matters and general litigation, had grown quite large and the volume of work had more than doubled In the last 3 years. In an effort to increase supervision of and liaison with U.S. Attorneys the Section was organized into four units, each handled by an assistant chief or a reviewer. Three of the units handle cases arising in specific geographical areas corresponding to Internal Revenue regions. The fourth is responsible for Federal immunity matters, This reorganization will result In closer relationships with U.S. Attorneys, the courts, and the offices of Internal Revenue within each area. At the same time the assignment of personnel will be sufficiently flexible to permit concentration In particular areas or particular types of cases when necessary. 10. Summary To summarize, the performance during fiscal 1901( resulted in new highs in closings, work production, success in court, number of criminal convictions and collections from delinquent taxpayers; and, new lows in time intervals to file pleadings, to process settlement offers, and to issue checks to taxpayers who were successful in refund suits. These records were achieved in the face of new highs in receipts and the number of cases handled by the staff of the Tax Division. 1. Pending At the beginning of the current year with 5,610 cases pending which involved $065.9 million, the average attorney was responsible for 33 cases involving $3.9 million. An estimated 10,K SO cases will lie received in fiscal 1965 involving $250 million. Thus, each attorney will have the burden of handling an average of 91 active cases involving $5 million. Approximately 5,327 cases will be pending at the beginning of the budget year or 30 cases per attorney. During the year about 11,42? cases will be received (involving ?250 million) with the result that each attorney will be responsible for 92 cases involving about $5 million" To reduce the staff with concomitant increase in individual workload would have a dangerously adverse affect upon not only the particular cases in litigation but the general collection activities of the Revenue Service. 2. New tax litigation (a) Genera.).-There is every indication that the increase in the volume of tax litigation will continue for several years. As was noted In last year's justifiea- tion, the Internal Revenue 'Service is engaged in a stepped-up enforcement and collection program ; the number of insolvencies (which threatens the collectibility of taxes) continue to Increase; defense spending goes on; and the population and economy continue to grow. In addition, there is the 1961 Tax Act which will in- volvo new issues to be litigated. Such factors as well as others create tax con- troversies in the courts, controversies which not only deserve (and require) ex- peditious and expert handling, but which affect the tax consequences of millions of people and billions of dollars, The means have been provided for the Tax Division to keep pace with the increase in revenue cases over the past decade. There should be no letdown now and the modest increase in funds is essential to the maintenance of the present program. (b) Treasury's program of cnfarecnimt and collection,-(1) Increase in work- load : In testimony before the subcommittee of the House Appropriations Commit- tee supporting request for funds for 1905, the Commissioner of Internal Revenue reported on the progress of the Revenue Service's program to achieve better com- p1iance." It was reported that 2.2 million more returns were filed in 196 and that returns would increase about 2 million over each of the next 7 years. The Commissioner noted that increases In returns filed mean additional processing work, additional delinquent accounts to be collected, additional audits, appeals, fraud investigations, civil and criminal court cases, requests for advance rulings, xr.e haveswork o worked r Ion1n 0 ss of ca that handl oneytl attorneys to private practice who '' hearings, Treasury-Post office Departments and Executive Office Appropriation for 1065 (Treasury and Related .lgencies), 88th Cong., 2d sess? pp. 301-377. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 69 and additional taxpayer assistance just to keep even with the growing taxpayer population. Continuing, the Commissioner estimated that there would be 12,000 more field audits and 500 more fraud investigations in each of the years 1965 and 1966. (2) Taxpayers compliance measurement program : A prorgam was instituted in fiscal 1963 to determine the extent of compliance. This project determines kind, amount, location, and causes of noncompliance. Coupled with the master file which is the heart of ADP, thousands and even millions of new taxpayers will be uncovered. 'T'his will likewise lead to controversies, both civil and criminal. (3) Automatic data processing: As noted at the outset of this justification, ADP is on schedule with all returns due for inclusion by 1966. This system has been and will continue to locate thousands of persons who have not filed returns, will detect millions of errors, will pinpoint thousands of erroneous refunds, and select returns requiring audit. Large numbers of additional audits are being conducted as a result of ADP and the number will grow asp more returns are included in the system. Such audits lead to law suits in the courts. (4) New tax laws: Any new tax law creates confusion and misunderstanding and requires new regulations and rulings and interpretive court decisions. The 1964 tax law is especially complicated and will result in differences of opinion and need for clarification over the next 2 or 3 years. (c) Miscellaneous: Other sources of work for the Tax Division include Federal immunity problems which continue to increase in volume, and insolvency pro. ceedings such as bankruptcies, receivership, and foreclosures, which continue their upward trend. In the immunity area, substantial demands on the Division's resources continue to be made because of the need for resolving conflicts between the taxing powers of the States and. the Government's immunity from taxation. Among the more important problems are those involving (1) the application of sales and use taxes to Government contractors; (2) the validity of State inheritance taxes on gifts to the United States; (3) the right of the United States to sue in the Federal .courts to vindicate the rights of a serviceman under the Soldiers' and Sailors' Civil Relief Act; (4) the validity of a Mississippi tax as applied with respect to house trailers belonging to nonresident servicemen (the Government contends that it violates section 514 of the Soldiers' and Sailors' Civil Relief Act) ; and, (5) in- volving attempts to impose ad valorem taxes on Government employees for their use of Government-assigned quarters in which they are required to live. The number of insolvency proceedings rise further as business activity and population continue to expand. In the usual insolvency proceeding (bankruptcy, foreclosure, etc.), there are unsatisfied tax claims. The Director of the Administrative Office of U.S. Courts reports '8 another jump in bankruptcies. The trend over the past 12 years follows : Fiscal year : New petitions filed New petitions Fiscal year-Con. filed 1964--------------------- 171,719 1958--------------------- 91,668 1963--------------------- 155,493 1957---------------.------ 73,761 1962--------------------- 147,780 1956--------------------- 62,086 1961--------------------- 146,643 1955--------------------- 59,404 1960--------------------- 110,034 1954--------------------- 53,136 1959--------------------- 100,670 1953--------------------- 40,087 Mortgage foreclosures on nonfarm properties are also up as revealed by the following tabulation : Calendar year : Number of f oreclosurea Number of Calendar year-Con. foreolosures 1963--------.-------------- 98,195 1957---------------------- 34,204 1962---------------------- 86,444 1956---------------------- 30,963 1961---------------------- 73,074 1955---------------------- 28,529 1960---------------------- 51,353 1954---------------------- 26,211 1959---------------------- 44,075 1953---------------------- 21,473 1958---------------------- 42,367 Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 70 3. i l1nl1nar/l The increase In popuhU ion with the concomitant increase in the number of tax returns; the expansion of the Internal Revenue Service's enforcement pro- gram coupled with the further development of ADP and the institution of the taxpayers' compliance nnrnsnreno'nt program : the passage of the new tax la"-; and the increase in insolvency proceedings will all add to the workload of the Tax Division in fiscal years 11RIS and 19?G. The iuuuber of new controversies will increase at least it percent each year over the record number of receipts in fiscal 1!)d11. The maintenance of the present staff is imperative to [lie success of the revenue collection activities of the Federal Government, The ratio of work to legal personnel is revealed on the chart which follows. While work has increased -17) percent over the past 17 years, the tituitber of attorneys has in- creased only 1!111 px'rcent. 1. Prr.ronal arrrirrs hands are requested to over the con(px'nsation and the cost of prrsoual bene- fits for -101 employees, S less than the number presently authorized. The neces- sity to absorb more of the pay act cosh: and (he reduction by two-thirds of the aniouut required for within-grade promotions bits rehtccsl the staff. Attorneys j Nonlegal J Total Executive -------------- K 65 I 73 ppellate--------------------------------------------?------ 82 General litigation ------------------------------------ 44 23 67 Criminal --- ------------ 20 M 11 37 Court of Claimc- I 9 30 Refund Trial No. I ---------------- ------------------ 23 11 37 Refund Trial No. "_---------- ---- ------ --------- ------ 26 13 39 Refund Trial No.3------- ------- -- ----------- 12 6 18 Review----------------------------------- Ili 8i 26 Total 232 172 404 (a) Exccutirc.-The S legal and 65 nonlegal positions cover the Office of the Assistant Attorney General and his immediate assistants. the Litigation Control Unit, administrative, statistical, d(xcket, digest, library and messenger personnel. and stvno_-raI)hvrs. typists, and machine transcriptlonists in the secre- tarial units. Direct executlve direction accounts for only 9 of the 73 1 ositions. (b) Criminal Secs/nun.--The increased activities of file Tax Division in the organized crime prograin coupled with the expected increase of regular criminal lax cases in 1905 and 1900 make it necessary to maintain the legal snail' of the Section. (r) Gcncral Litigation.--Civil litigation involving bankruptcy, receivership, and other insolvency proceedings; snniluons enforcement and injunction cases; regular collection suits against delinquent taxpayers; and Federal ininnmity matters are increasing suhtantially. Work of this type increased 7 percent in 1!ati. The vt orou!4 enforcement ljro,.,rani of the Revenue Service means a eon- Iinuation of the hn'reasv in Ii' volume and importance of the use of civil process to collect taxes from delinquent or recalcitrant taxpayers, and to aid Service investigation by summons cnforcenient. (dl Rrflnid Trial See/io,ix.-Refund suits in the district courts and the Court of ('minis itmreased 1i percent in usual 1111.1 and will increase at least 5 percent in each of Ili' usual year. 19415 and 1[Kill. The suits for the refund of taxes already paid into the Treasury involve directly over one-half a billion dollars; and, over $2110 million is in controversy in new cases, making full use of discovery procedures and properly briefing the law, (c) Appellate Section.-Proceedings in the appellate courts equaled those handled in fiscal 1963. The margin of success (72 percent) was one of the highest figures on record. The volume of this work remains high. The staff of the Tax Division prepares more briefs and orally argues more cases than all of the other legal divisions combined. 19'rhe remaining Gi employees service the operating units of the Division but are assigned to and direct, I by the Executive Assistant to Insure maximum efficiency in manpower utilization an f avoidance of idle time In one section corresponding wth overloads In another due to the continued fluctuations In work volume whieb inevitably ceur. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 71 8 A In so a ?u Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 (f) Rct'ictc aection.-The Review Section processed 1,873 offers in compromise in 19G1, an increase of 10 percent over the previous year, The Division has again extended its settlement option procedure with Internal Revenue Service and has intensified its informal review procedure which will make it possible to deter- mine quickly which cases should be tried and which should be settled. Also, we have streamlined procedures; which have speeded up the handling of offers. If these expanded programs are to succeed, and if the work on the enlarged number of new cases is to proceed expeditiously, the staff of the Review Section must be maintained. 2. Other- cxpcnges While costs of operation other than personal services amount to only 20 per- cent of the allotment, such expenses are on the rise for a number of reasonsf? The Division exercises tight control over operating expenses. Travel Is coor- dinates between sections, trips are consolidated, the use of coach and tourist accommodations is Insisted upon, the use of private automobile is limited (thus saving time and per diem), rental of automobiles Is restricted (and cheaper GSA vehicles must be used), and C.S. attorneys are urged to take a noire active part in processing appropriate types of tax cases. In fiscal 190.1 the Division was reimbursed for travel for D.S. attorneys in the amount of $12,fXl0. Thus, total expenditures for travel was $292,394. The new procedure for printing briefs has been reported. (See section on "Administrative and Procedural Im- provements," supra,) And, in other areas (e.g., purchase and use of supplies, duplicating services, etc.), close control is exercised to assure maximum economy of operation. There were almost 500 more trials and arguments in 19 -I and court activity will increase In the next 2 years. Over 1,300 depositions were taken in civil cases last year and further aggressive action of this type will be undertaken in the current and budget years, If the Division is to carry on the programs of greater discovery and other aggressive actions, and meet all court deadlines, the continuation of the current travel allotment is a necessity. 3. Promotions As was noted in last year's justification, the usual response to the uncon- trollable increase In work has been to enlarge the staff. It is believed that this is not always the most economical way to meet the increased workload. The typical employment pattern in the past has been to take a young attorney recently out of law school at a grade GS-9 who would work for 2 or 3 years and leave at a GS-11 or GS-12, Beginning in 1941, the Tax Division has secured under- .standings from attorneys entering the Tax Division that they will stay 4 years" Such commitments presuppose that their grade will be Increased as they develop to the point where they assume greater responsibility. A sound promotion plan for an able young attorney would be to take him in as a grade GS-9, promote hint to a GS--11 at the encl of 1 year, a GS-12 at the end of 15 or 18 months, and a GS-13, 18 months thereafter." This makes the young attorney's salary almost commensurate with what he could be earning on the outside. At the same time his contribution In the last 2 years of his service is proportionately far greater than the salary increase provided. The difeulty, is that present customs of preparing budget estimates do not permit isolation of the amount necessary to maintain a realistic promotion program, Conseq uently, it is neces- sary to either allow positions to remain unfilled in order to develop "'lapse" money from which promotions are financed, or have attorneys leave us for failure to receive merited promotions. It is estimated that the Tax Division, building on this nucleus of line young attorneys gathered in 1901 and 1902, could absorb an 8- or 10-percent annual increase in work over the next year if a relatively modest amount were provided for promotion. This would also permit us to operate at full authorized strength. A careful examination of the employment rolls last year indicated that if $100,000 were provided for promotion, it would not be necessary to seek an increase in personnel authorisation for the fiscal -"On top of the statutory and price increases which have never been provided for specifienlly are the costs of ,rocessing a greater number of cases- 2 The program has already begun to bear fruit. The turnover rate for attorneys dropped to 10 percent in the 19113 Ilscal year and was only 14 percent In fiscal 1964, compared with 20 percent in both 1303 and 1941, and 21 percent in 1900. This fact makes It imperative that funds he made available to cover promotions. WAN in the past there Is nothing automatic about these promotions and an attorney who does not meet the standards for the next higher grade is not promoted. Each case Is considered on Its own merits. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 73 years 1965; or 1966. If nothing is done about promotions, the Division will have to revert to, one or both of the practices of prior years; i.e., seek additional per- sonnel at far greater cost or leave positions vacant which will have an adverse effect upon the work of the Division. The Tax Division has no control over the number or complexities of new cases and must receive and handle the work referred. The volume of such litigation grows each year. If taxpayers are to have their day in court; if the revenue is to be collected and protected; if the criminal provisions of the revenue laws are to be enforced; and if these responsibilities are to be carried out expedi- tiously and efficiently, the staff and operating funds of the Division should be provided as requested herein. Cases: Pending beginning ofyear------------- 4, 628 5,035 5,668 5,474 5,271 Received----- _ --------------------- 7,528 9,306 9,937 10,435 10,964 Terminated------------------------- 7,121 8,873 10,131 10,638 11,251 Pending end of year------------------- 5,035 5,668 5,474 5 271 4 984 Matters: Pending beginning of year------------- 70 177 212 , 136 , 56 Received--------------------- ------ 353 305 425 445 460 Terminated -------------------------- 252 270 501 525 500 Pending end of year------------------- 177 212 136 56 16 INCREASE REQUESTED Mr. ROONEY. These pages indicate that the request is in the amount of $4,812,500, which would mean a requested increase of $143,300 over the amount of the 1965 fiscal year adjusted appropriation. The requested increases are set forth on page 12-3. It would appear that of the requested increase of $143,300, $107,500 is in connectiffl with a proposed promotion plan which was also requested. last year. Is that correct, Mr. Oberdorfer? Mr. OBERDORF ER, That is correct, Mr. Chairman. Mr. ROONEY. What is correct? Mr. OBERDORFER. That this request is the same request the committee considered last year and which was discussed in the hearings before this committee on page 70. I believe the date of that hearing was January 30,1964. Mr. ROONEY, SO? Mr. OBERDOE ER. I reread that discussion, Mr. Chairman, and either directly or by reference I would like to incorporate it here. It states the idea we had in mind, the arguments to support the promotion fund, and relates the discussion here in the committee in which we had the benefit of Mr. Andretta's counsel and testimony to the effect he thought it was a good idea. There was a discussion at that time about the possibility of putting it over from last year to this year, but it is essentially the same thing. The essence of it., Mr. Chairman, as you may recall, is that beginning Mr. ROONEY. Mr. Oberdorfer, perhaps the committee last year had in mind the preferment of the Tax Division to other divisions of the Department of Justice insofar as the promotion plan was con- cerned? Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 74 Mr. Oivmmolln.n. I will be glad to speak to that, Mr. Chairman. illy. Iloo n . Please go ahead. As a matter of fact, you had better speak to tlhe almost $5 mil lion budget We have before us. Mr. Oiw-untrzvi tt. Fit-, if I nlay addres myself to the tli(feretlce be- tween (lie needs of the Tax Division and the needs of the other divi- sions, as I believe the elnurmflit n anti the comtuii.tee recctill, Ave were confronted when we lir"t came into the I)epartlnent, With the proble111 of attorney tnl?uover. The young lit A viers Who came from law school to the Ta.x Division were in a showcase. Soon of derthey caste to Work for n, toes were. oat engaging in litigation iu the Federal courts around the Country in ('olltlet'i ion with Federal tax matters. They were well selected, they did a good job in conri, and they Were very at!rartiye to ilia ham and ties were fitted away from 11", 1\ quickly. At file, time We carte hi the I)epartl-lent, file average tenure of a young lawyer was' years. This wa,1lip source of a lot of Coil) plaints we had alxmt the. handling of our business. The bar and the courts Were very impatielhl Witt its hecansv We would fend one man to start It case and before, lie had finished it lie had left its and somebody else was Ialdug his place. In addition to fie mehl being mhcrefore inexperietlcetl and the per- sonnel unstable and rotating. we Wer(, . also dealin, will) the prol-lents of their bring overextended and our not having a Sufficient stall. In 119G I mid 19(42 we presented tiles(, problems to the then Attorney General, to the Itureath of the budget, and to this cotn-oti(1ce, and We were authorized stall' increases to give us the manpower Ave thought. was ne""essa--y to do a more lawyerlike job. At the same little. Mr. (`llairn-an, 1o reduce the tttrnurer. the Tax Division llegalt a practice of asking the young lawyers who accepted entploy-uenl to conltnit tloll ISolres to stav for -1 years. This is the heart of the shatter. Pre- viously, our men would leave us in 2 Years, would be hired away from us, unless We had a conhnlit -net-t from t hem to stay. We believe this aspect of our employment policy is unique in the Departittent. A Vv checked again informally this morning, and as we understand it {he I ax Division is the only division in the Department Which has a formal -1-year cotnmitlocnt arrangement Willi its em- ployees. Therefore, it), the Tax Division, unlike other divisions, which has tlie used to recognize the fact that whereas we have been operating for years on the assumpi loll that the young lawyers came for 2 years on an average, they nmv -tae -1 years and the request we made last year and that. we rellew this year is our client to recognize the fact we now have ill ore ,(,asoll ed people Who are wit h its for 4 years, and we think this request, if honored, would recognize and enable us to deal With that situation. Financially we have much less lapse moues to cover grade promotions because the turnover rate has shopped 51) percent as a result of our I-ear commitment. lfr. boo: ma-. L)o you think a lawyer in the Tax Division works as hard as a, lawyer in the Lands T)iyision, Mr. Oberdorfer? Mr. OBERnoit'F,lt. I am not familiar, Air. Chairman, with the work of the hinds Division, I know the lawyers in the Tax T)ivision work Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 75 very hard. They are the only lawyers in the Department, so far as I know, with the possible exception of the Antitrust Division, who have the responsibility on the line for trying their own cases in the courts around the country. I know the lawyers in the Tax Division work as hard or harder than the lawyers with whom I am acquainted in private business that work hard but are better paid. Mr. ROONEY. Do you want to get away from this subject of your promotion plan and get to your budget? Mr. OBERDORFER. Our budget, Mr. Chairman, has no change in the number of personnel requested from last year, although our work is up. It has no increase in the request for travel, although our travel authorization for 1965 was less than we requested. We are somehow managing that. The only other change in our budget is our request for part, not all, of the funds we would need to finance the step in- creases and the additional costs under the 1964 Pay Act. We think we have proved by our performance last year, or at least justified, the staff the committee authorized. for us. Mr. Chairman, if you recall, the year before last we were very much concerned, despite the fact we had more people, that our backlog was going up. It was going up because the new cases we received in 1963 approached the 10,000 mark, and in 1964 exceeded 10,000. We rolled up our sleeves with the more experienced level of our staff and for the first time since 1959 we reduced the backlog. Mr. ROONEY. Of course you got a substantial increase in lawyers and clerks I did you not? Mr. OBERDORFER. We did not last year. We leveled off last year and this year. Mr. ROONEY. Did you level off or did we level you off? Mr. OBERDORFER. I do not think we made a request for an increase last year, Mr. Chairman. We collected more money last year. On page 13 of our justifications we account for the fact that in fiscal 1964 we either collected or saved $156 million, compared to $127 million in the preceding fiscal year 1963. We had better results in court. We won 72 percent of our cases. We had more criminal convictions last year than any time in a long time. I have the impression, and I am frank to state it to the committee, that this Division is just improving all the time, and with the personnel we have and the organization we have arranged and the more experienced level, we are earning what the committee: has Mr. ROONEY. Since you referred to convictions in tax fraud cases, in 1963 you had 597 convictions and in 1964 you had 607. What was the budget of the Tax Division in 1963? Mr. TADLOCK. Without regard to the pay act increases it was sub- stantially what it is now. Mr. ROONEY, What was it in 1963? Do you have that, Mr. Brown? Mr. BROWN. No, sir. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 76 Mr. ROONEY. You will not gut its to the trouble of looking up our justifications for that year, will-ou? Mr. OBERDORFER. No, sir. VV e will supply it.. Mr. ROO EY. It might be interesting to know it right now. Do you have the figure for 1904? Mr. OIEIWORFFR. Yes; I have that on the green sheet. For 1964 the budget was $4,086,000, and for 1965 it % vas $4,069,000, in round figures. Mr. RooNEY. What did you say it was for 1904 ? Mr. OBRRIx)1w R. $1,096,000. That was for the same 429 personnel authorized. Mr. Roomy. Can you figure out what it was for 1903? You had 10 more convictions as between the 2 years and I am interested in know- ing how much it cost its. Mr. TADL4ctc. I have that figure now. It was $3.8 million, 401 per- sonnel, And in 1965 it. Was $4.7 million, 427 personnel. Mr. RooNEY. As between 1963 and 1961 you had an increase of ap- proximately a quarter of a million dollars? Mr. TADLOCK. More than that., Mr. Chairman, about $800,000 or $900,000. Mr. ROONEY, I am looking at your figures on page 12-13, a list of convictions in 1963 and in 1904, and while I realize this is only a, part of the workload of the Division Mr. OBERnoRFER. It. is a very small part.. Mr. RooxEY (continuing). ~ It is the part that the public gets more acquaintance with. As between 1903 and 190#, you had 597 convictions in 1903 and GOT convictions in 1961, an increase of 10. How much was the increase in appropriations? Mr. TAILOCK. You are correct, Mr. Chairman. Mr. ROONEY, About. a quarter of a million dollars? Mr. TADLOCK. That is correct, sir. Mr. OBEROORFER. Far be it for me to differ in any fundamental way Mr. ROO:r EY. That is your privilege, Mr. Oberdorfer, and that is what you are here for. Mr. OBERDORFER. The number of criminal convictions is not the measure of our work. Mr. ROONEY. I already said that. I said it is a part of it and it is the part the public is most interested in, is it not? Mr. OBERDOR R. We, think the public could be interested in the lawyer-like conduct of the. Tax Division attorneys in court. Mr. ROONEY. You mean the sartorial presence of your lawyers in the courtroom? Mr. OBERnORITR. Their preparation and efficiency. Mr. Roo: EY. How many lawyers do you have in the courtroom when you are trying a case ? Mr. 0BFP.noi rrR. In the Tax Division? Mr. ROONEY. Yes, Mr. nnERtnoRrER. Seldom more than one. Mr. RooNEY. You have more than one? Mr. OBEIm0RFER. No, sir. a't'e normally have. one lawyer. Mr. ROONEY, how about in the District of Columbia, how many lawyers do you have? Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 77 Mr. OBERDORrER. Our lawyers seldom show up in a case in the Dis- trict of Columbia except in a criminal case. Mr. ROONEY. I was in the District court one year and they had five lawyers trying a small alien property case. Were you there, Mr. Brown? Mr. BROWN. I was not there but I have heard that statement before. Mr. OBERDORFER. Really, Mr. Chairman, I get a morning report every morning of where my lawyers are and the flag goes up if there are more than one in one town at one time. You seldom find any Tax Division lawyer in court here except on a very tough criminal case. Mr. JONES. In connection with tax lawyers, sometimes he has five cases a day. The point is Mr. RooNEY. Maybe you had better not make the point. You have a $5 million appropriation request and you are coasting on the point, a point we might sustain, that this is a pretty good Division of the De- partment of Justice. Mr. OBERDORFER. Thank you, Mr. Chairman. Mr. ROONEY. If we were to start this promotion plan in this Division, Mr. Brown, speaking for Mr. Andretta, I hope, this would lead to the same sort of plan in other divisions, would it not? Mr. BROWN. It may well do so. Mr. ROONEY. Can you make it a little more forceful? Mr. BROWN. I think some consideration is being given to that right now. Mr. ROONEY. Did not all the lawyers down there get a pay increase last year and the year before and the year before, every year? Mr. BROWN. They were included in the regular pay increases for Government employees generally. Mr. ROONEY. So the proposition we are confronted with is are we ,going to embark on something that may very well lead to an overall increase for all the lawyers, the thousand lawyers, in the Department of Justice, not onlyy the thousand lawyers in the Department of Jus- tice, but all the U.5. attorneys and their staffs? Mr. SMITH. They have already had it, have they not? Mr. ROONE Y. They all had it. Mr. SMITH. The U.S. attorneys had a promotion plan? Mr. ROONEY. Surely. Mr. CEDERRBERO. That was the original plan, to take in all the de- partments. Mr. BROWN. We have never presented an appropriation request for that. It has been under study. Mr. CEDERBERO. I thought when Attorney General Kennedy came here, he indicated in his testimony that there was this plan. Mr. BRowN. I do not think there is any secret about this. I think it has been suggested before this committee that this is a worthwhile plan and some consideration is being given to it throughout the De- partment. Mr. ROONEY. Mr. Smith? Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 78 ('RITERLA FOR rite llO'rIONS Mr. SMITH. How would you determine which lawyers get a pro- motioll? Mr. OISF.nuoRFuti. There are two steps in that. The first would be determining which lawyers are eligible for promotion, and they be- come eligible for further proniotion after period of tinge. In the ease of a lawyer who has been with us a year, a GS-Q is eligible for promotion. lawyer who has been a GS--11 for a year and a half is eligible for a promotion. Mr. S3rrrrc. Would they not get a promotion anyway under regular prticechire? Mr. Oiirnnonrrmi. The GS-9 would get a promotion unless lie was doing something wrong if there were funds available, but beyond that we have a pretty careful evaluation procedure and promotions are not alitolllatic. Mr. SarmTii. What wail!(] be the criteria 1Ir. OiSlat oio :It. For purposes ;d()6 ,mod. is based .on ,;step 1:0f. GS-11 ($8,650) plus personnel benefits, less 3 months` employment lapse. The overall total increase to the Public Health Service allocation for 16 posi- tions Is $116,565, of which $116,000' is requested, Additional education and recreation positions (3) ($17,000) It has been the practice In the institutions to use inmates as teachers in many classes. From experience it has been found that the procedure detracts from programs affecting the inmate's view on law, government, and morality. The request is for an additional teacher at McNeil Island, Wash., to teach afternoon and evening literacy level and remedial classes. Also, one more teacher is needed at Chillicothe, Ohio. The two positions total $11,.697 and are. based on step 1 of GS-9 ($7,220) plus personnel benefits, less 3 months' employment lapse. It has been found that recreation supervisors are Invaluable in reducing free- time idleness which could lead to trouble. This is particularly true in youth institutions. The request Is for another position at Petersburg, 'Va., which would be in addition to a recreation specialist already on the stag. The estimate totals $5,370 and is based on step 1 of GS-8 ($6,630) plus personnel benefits, less 3 months' employment lapse. The overall total of three positions amounts to $17;067. Additional record office clerk-.stenos (16) ($58,000) The positions requested would be used to handle typing, processing, and filing of records on inmates. These records include information on the inmate's con- nections with other criminals, psychiatric problems, family relationships, and other personal matters. Much of the material is a part of the presentence investi- gation made by the courts-investigations which are so confidential that they are not even available to the inmate's defense counsel. With present staffing, however, inmates consistently handle other inmates' records, The Congress approved 16 positions of this type in the fiscal year 1963 appro- priation. Experience to date indicates that from three to five additional civilian employees are required to do the work on records which is now done by inmates. The, 16,positions? requested will. meet, the, need at~ all -penitentiaries, the-larger reformatories, and the medical center in Springfield, Mo. The estimate totals $58,056 and is based on step 1.of GS-4 ($4,480) plus per- sonnel benefits less 3 months' employment lapse. Additional casework supervisors (6) ($45,000) The positions of casework supervisors have proved to be highly successful in improving the caliber of casework at the limited number of institutions where they are presently authorized. The incumbents handle a number of the more difficult cases where special counseling skills or community contacts are required. In addition they provide direction, review, and consultation for the journeyman caseworker. It is proposed to establish 6 additional positions at institutions having more Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 234 than a 500-average population. The request totals $45,039 and is based on step 1 of GS-11 ($8,650) plus personnel benefits; less about 3 nmonths'=enlpfo;-ment lapse. Caseworker aid positions (6) ($32,000) One of the most difficult problems connected with recruiting and retaining qualified caseworkers Is the multitude of routine tasks which must be performed. An experiment was conducted which utilized more experienced correctional of- 'cers as caseworker aids to assist inmates with correspondence lists and other routine needs. The procedure frees the professional caseworkers for more ur- gently needed counseling and community contacts. Results have been encourag- ing enough to justify a request to establish six permanent positions at the larger institutions. The total cost would be $32,220 based on step 1 of GS-8 ($6,030) and personnel benefits for $42,960, less 3 months' employment lapse. Additional central office positions (2) ($13,000) New sentencing statistics, new forms to meet, new needs, and new functions in correctional work at mt*t levels have continued to create more eoutplex pro- cedures for Institutional record officers. .lt is almost an impossible tusk to provide adequate supervision from the central office wiU present staff. . It is pro, Imsed to create; one new supervisory position for records. management in the central office. The request is for $7,008 and is based t}n step 1 of GS-11. ($.8,650) plus personnel benefits for $9,342, less 3 months' employment lapse, The number of commitments under 18 C?3.C. 4208(b) continues to Increase each month as the courts take greater advantage of the law. As a result, more staff [.hue is being devoted to analysis of cases and preparation of appropriate correspondence. Present central office staff is unable to accomplish tbe-reporting requirements during the regular workweek fqr the study and observattion cases. One additional adult ease analyst Is requiestetd, totaling $6;3911 based on step 'l of GS-10 ($7,900) plus personnel benefits for $8,53, less 3 months' employment lapse. The overall cost of the two positions is $13,405. - Prerelease guidance centers ($91,000) The fiscal year 1962 appropriation provided $500,000 toBait uce_a demonstration program for intensive treatment of juvenile and youth offenders. The es,entIal purpose was to apply the best available correctional knowledge to comparatively small groups of offenders. By testing results and by waking information avail- able to professional and fay persons concerned with delinquency control, It was hoped that patterns of treatment would be evolved which could be.adapted by communities and institutions throughout the country. - Four prerelease guidance centers are operating in Los Angeles, Chicago, Detroit, and New York City. The District of Columbia is being planned as the, site for another one In 1965. An intensive counseling project Is being conducted at the National Training School (District of Columbia) and a correctional education program at Englewood, Colo. A study involving females is contemplated at Alderson, W. Va. Conclusions to date indicate that the projects Have-- (a) revealed useful techniques in counseling and treatment : (U) stimulated and encouraged local agencies to attack problems sur- rounding juvenile offenders; (c) provided a much needed tool by which research data can be obtained for future evaluation; and (d) assisted in closing the gap between Institutions and probation offices. It is proposed to add one more prerelease guidance center for youthful offenders in 19966. Metropolitan areas under consideration are San Fralicisco, Kansas City, Mo,, St. Louis, Philadelphia, Denver, and Dallas-Fort Worth. Funds are requested for : Titre Grade i rositions , - We Center director--- --------------------------------- Employment dtneer ............... .................. Caseu?orkhr--------.-------------------------------- Counselors------.. -. ------------------------------- Clerk-stenographer------------------------_....... G8-12_......... ------ G8 1l ........... GB 10 .....:.......... 68-8 at $B,r O....----. 08-5.................. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 23.5 Subtotal, basic salaries : _________~_____-,~~ $5] 690 Personnel benefits, 8 percent-_ ,.__-__- - ------------- 4,135, Positions :other than permanent -------------- :.-_-~ri~:L .060 ------------------_-_-_ -_- ? Premium pay- ---- $,500 - Employee transfers, 5 ,at $800 (4 at $800 nonrecurring) --------T__4, 000 Maintenace and operation, costs------------------------------------- .17, 000 Major equipment ($1,500 nonrecurring) _ 21 000 Total appropriation required --------- ...------------- ----------- 91,285 Care increase of 4 cents ($162,000) An increase from 86 to 88 cents is requested for'the care per capita allowance.. Theamount;is based on 'three areas of.program improvrement,. . (a) Thhe, most serious problem. is in.discharge fund allowances, i.e., "gate money." The Federal prison system has for many years attempted to provide: a suitable gratuity to those prisoners who have no personal funds when released. Yet records show that the average gratuity for releasees with no personal funds Average Fiscal year 1961-------------------- .?, --- $20.98 Fiscal year ].962----------- --------------- -- - -' `` -'21.62 Fiscal year 19&3 --------------- ------ ` ---'- ,~ ~-a sj 21. 68 Fiscal year 1904 ------------ -` 24.13 The above means that in 1964 around 3,500 people left' the institutions with an average of $24 to become reestablished in, the. communities.. There is no doubt that lack of release funds contributes to the early downfall of ex-prisoners. An increase of 1 percent ($81,000) is requested to increase, gratuities.. (b) For many years the Bureau of Prisons has been successful in locating and securing large amounts of usable issue clothing from surplus sources at no cost except transportation. Institutions report that surplus inmate clothing 'and shoes are becoming less plentiful and that more funds are being required to purchase new clothing. For example, on May 21, 1964, Leavenworth re- quested an additional $2,250 because "socks, shoes, and mattresses formerly secured on surplus, no longer available in sizes (quantities) needed." On May 22, `1964, Lewisburg reported; "Our stock of surplusclothing keeps dwindling and we will; have 'to purchase m46 Issue clothing during the coming year. We estimate that `additional shoes will cost us $2,400 and- foul weather gear and overcoats or winter,work coats will cost us an additional $3,200." In view of the changing situation,,' an increase of one-half cent ($40,000) is requested to buy clothing and shoes. (e). Increased court cases involving psychiatric and psychological treatment result in higher costs in the care account. This is true even though the'-popula- tion declines. Medical staffs in the institutions' periodically report shortage of funds for drtigs, medicines, supplies, and materials' -- For example, Atlanta in fiscal year 1964 required an additional'$8,000 to`financeadequate medical atten- tion. One-half cent ($41,000) is requested to assist in coping with medical costs. Improving maintenance and equipment ($500,000) An increase of $500,000 is requested, of which $300,000 would be used for physical plant maintenance and $200,000 for major equipment. (a) The problem of adequately maintaining- aging physical; plants appears practically endless. Projects amounting to $1,000 or more are contained in the buildings and facilities appropriation. The salaries and expenses appropria- tion provides for smaller requirements to be accomplished. with institutional per- sonnel and inmate labor. Despite increases in 'availa'ble funds provided b,y the Congress during the last several years, there still exists a serious deficit in the program to keep $250 mil- lion worth of Federal property in safe condition and proper repair. For ex, ample, last year $314,423 was deferred in maintenance projects due to lack of funds. The proposed increase of $300,000 would be distributed among 31 institutions in accordance with the size of their maintenance backlogs. (b) Major equipment is defined to include those items or groups of items cost- ing over $100. Although surplus property has been of significant assistance in replacing many kinds of equipment, there are substantial needs which we are unable to meet through surplus acquisitions. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 236 Recorded book value of major equipment In the system Is over $13 million, A survey made In fiscal year 1964 revealed that total replacement. cost of food service equipment alone is over $2? million. Annual depreciation is $183,502 but funds for major replacements in 1964 were only $100,000. These ar? Items such as ovens, stenmtablc ,-aqd-the like which are unavailable -from,surplus. sonrcet. An increase of $200,000 Is requested to Improve the program of major equip- ment replacement. Ruaployrc injury compensation ($18,000) Legislation enacted In 1900 (sec. ON. Public Law 86-707, 5 U.S.C. 78.5) re- quires Federal agencies to reimburse the eenrployees compensation fund for pay- ments made to persons formerly employed by the agency. During fiscal year 196t the amount paid by the Department of Labor was $67,656. Fund request Is based on: Total benefits paid in 1904----------------------------------------- $67,656 Less ant t,In 11f9,Saxe------------------------------------- -.-50,000 Balance required In 1966------------------------------------- 17,6x6 Maintaining dyad of employment ($639,000) The fund request Is to support authorized level of I-osltions in fiscal year 1906. The additions are based on four factors: (a) Wage board pay adjustments---------------------------------- $165,000 (b) Classified and military salary increases------------------------ 21,000 (c) 1 additional day's pay----------------------------------------- 1,57, 000 Less amount to 1965 base------------------------------------- 1r1, 000 Total------------------------------------------------------- 6,000 (d) Within-grade Increases---------------------------------------- 447,000 Total----------------------------------- -------- -----.--- (138,000 (a) During fiscal year 1964 a total of 807 wage board employees In 29 different Institutions received pay increases amounting to $74,508 as a result of community wage surveys. The amount on an annual basis is $105,016, Including retirement, and Insurance contributions. The fund request Is the amount required to finance 1961 Increases In fiscal year 1300 and does not include funds for Iansible increases.ln 1%5_ or 1060..The total Is $30,00P less than a ssintilnr request in-the prevIouti year. (b) Public Law 88-426 provided higher par scales for classified employees and covered the period from July 5, 14101, to June 30, 1905. The fund request is for $18,000 to provide full-year financing for Bureau of Prisons and Public Health Service classified employees during the period July 1, 1901 to July 4, 1964 or three-tenths of a pay period. Public Law 85-122 provided higher Puty scales for military personnel and covered the period September 1, 1964, to June 30, 10115. The fund request is for $3,000 to provide full-year financing for Public Health Service commissioned offi- cers; in the Prison Service during the period July 1, 196-1, to August 31, lOll-i. (e) There are 2611 workdays In fiscal year 1966 compared with the normal 200. The cost in fiscal year 19116 will increase from M1SII,GIltl to $1517,090 on the basis of approved number of permanent 1-ositions lit the 10115 appropriation. The request Includes $6,421 for Public Health Serviceclassifed employees. (d) The request of ~4-4'r,000 Is to fund those within-grade increases welch are not fully financed by turnover savings, It is computed that [here is a deficiency of $S,; per employee. This is about. one-fourth of the minimum stet, increases earned annually by a majority of [lit, employees. If funds are not. available, employment wust he reduced. Custodial security and safely of plant operations require the Prison Service to fill most of Its vacancies Immediately. The fund request is based on personnel roster:, and reports submitted by individual host it ittlons and Includes $19,000 for Public Health Service employees. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 237 INCREASED REQUESTED Mr. SLACK. The request: is in the amount $57,210,000, which would be an increase of $2,460,000 over the amount appropriated to date for the current fiscal:year. How much of this increase is statutory? Mr. ALEXANDER.. $639,000 is for the maintenance of employment; $18,000 is for employee injury compensation. Mr. SLACK. Would you break down the $639,000 item please? Mr. ALEXANDER. Of this, $165,000 is for wage-board pay adjust- ments for blue-collar workers; $21,000 is for classified and military salary increases; $6,000 is for an additional day's pay and $447,000 is for within-grade increases. Mr. SLACK: Those items total $639,000? Mr. ALEXANDE' Yes. Mr. SLACK. How much are you requesting for additional personnel.? Mr. ALEXANDER. $280,000 besides the guidance center personnel. Mr. SLACK. How much is the total personnel including the guidance center? Mr. ZACHEM. May I add that, Mr. Chairman ? , S11041 . Certainly. Mr. ZACHEM. Mr. Chairman, the total is $348,000 for additional personnel. Mr. SLACK. Is that on a full-year basis? Mr. ZACHEM. No, sir; only the guidance center. Other additions ,are on a three-quarter-year basis. There has' been applied generally a .one-quarter-year lapse. Mr SLACK. How much will it cost next year, then ? Mr..ZACiinM: It'would 'beroughly one-third'higher. Mr. "SLACK.. Could you ggive me a figure on that Mr. ZACHEM. If I maybe allowed`a second to figure it. Mr. SLACK. Certainly. Mr. ZACHEM. I compute $433,000 on an annual basis. Mr. SLACK. Thank you. How much is in this budget of a nonrecurring nature? Mr. ZACIIEM. I think on page 27-11 of our submission are the only two nonrecurring items we have this year. Those are $3,200 proposed for employee transfers for the new guidance center; and $1,500 non- recurring for major equipment for the same facility. Mr. SLACK. On page 27-3 of the justifications, under item 1, you are asking for 1.6 additional positions for the, Public Health Service. How many do you now have? Mr. ZACIIE Al. In 1965 we have a total number of permanent positions ,of 283 in the allocation to Public Health Service. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 238 Mr. SLACK. How many positions do-you have at the. present. time for education and recreation? Mr. ALEXANDER. You mean total present? All'. SLACK. Right,. AMr. ALEXANDER. We will have to supply that for the record. Mr. SLACK. If you would sup ply t rat for the record and at the same tinge the same questions would apply to items 3, 4, 5, and 6, so will you supply that for the record for each of those items? Mr.EXANDER. Yes, sir, we will be glad to. (The information follows:) Positions prescntiy authorized General education----------------------------------------=----- Recreation supervisor .----------- -- --- -- 31 Record clerk-stenographer------------------------------------------_--., r,5 Casework supervisor---------------------------------------------------- 14 Caseworker aid--------------------------------------------------------- 0 Casework analyst, bureau-_---- --------- -------- --------------------- 3 Records management,bureau --------------------------------------------- 0 IMPROVING 31AINTENA' CE AND EQCIPME.\T 11r.. SLACK. Now can ' ou give us a breakdown of this requested $500,000 increase for improving maintenance and equipment, and at the same time tell us how much you have at t.iw present lime for this iteD. 11r.ZACIIEM. I can give you the amount that we spent in 190.4 for major equipment. Mr. SLACK. 1Iy question was, how much was in your 19G.i budget .for this item entitled ". iiproving maintenance and equipment"Mr. ZAcni i. $$01,000 exclusive of the increase for major equip- ment. Mr. SLACK. I think we are on two different subjects here. You are asking for a $500,000 increase on item 0 entitled:"Improving main- tenance and equipment." My question was, flow much was appro- liriated for this item for 1905? flow much do you now have for this item 'a Mr. ZACIIEM. $5,736,000, Mr. Chairman, for the entire maintenance. and operation and equips-rent. Mr. SLACK. I ant speaking to item 9 "Improving maintenance and equipment." That item was not $5,730,000, was it? Mr.. ZACIIEjr. NO, sir. I misunderstood Your question. Under "Buildings and grounds" the amount is $1,43,1,000; and under "Major equipment" the item is $501,000; that makes a total of $2,235,000 in the current appropriation. Mr. SLACK. How much was in the "Salaries and expenses" item for this item No. 9? Mr. ZAcjis r. The figure I gave you is all salaries and expenses, Mr. Chairman. Mr. SLACK. Mr. Director, where do you propose to place, this new guidance center? Mr. :ALEXANDER. As I mentioned earlier, we have requests from about 15 cities for this, and where it would actually be placed we have Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Q3D not as yet determined. This is dependent;uj-on a number of factors. One, for example, is that frequently we can operate these jointly with the State. The Detroit center, for example, is being operated jointly with the State of Michigan. At the New York Guidance Center, we are getting` support f rorn New York The actual specific location of this has not et been determined. Mr. SLACK. My next question was going to be how do you know you need $91,000 for it if you do not know where it will be ? Mr. ALEXANDER. We how what the staffing requirements are' from previous guidance centers, and this is the require- our experi`ence` with et fniffing mnor s. Mr. SLACK. This would not be only for ` tafling, would;it? Mr SLACK Certainly. Mr.'ZACIIEM. The estimate of $91,2$5 on page 27=11 is computed on our experience at the other guidance 'centers already in operation. Mr. SLACK: How many guidance centers do ' you have in operation at the present time,, `r.LEXANDER.our. M A F Mr. SLACK. ` Where are they to rated ? Mr, ALEXANDER. Los Angeles, Chicago, Detroit, and New York., Mr. SLACK. And how much are they costing per year ? 6 ' ' it ZACHEM. The total cost this year is $375,000: -1t1r. SLACK 'Iow much did you; ask for them last year? 'Mr : ZAor EAI. For the guidance centers ? Mr. SLACK. Rigght _Mr. ZACuEM. Nothing, sir. Mr. MoELLE R, If h nay; Mr. Chairman, the developnient,of guidance centers resulted 'from our having received art amended `appropriation for 'fiscal 1962 of $500000 for. guidance' centers and demonstration projects. We have retained the $500,000 in our base and have etir marked $500,000 exclusively, from year to year, for operation of the guidance centers and other demonstration projects' Ohich were ,#-, from that appropriation. Mr. SLACK. Then in view of what you have stated there was $500,000 in the budget Mr. MUELLER. Initially the funds were authorized as an' amendment to our 1962 appropriation in 1961. Thereafter the $500,000 was in- corporated in our base and we earmarked it specifically for the pur- poses for which it has been used. Mr. SLACK. Row much do you propose to obligate this year of that $500,000 ? Mr. ZACZIEM. All of it, Mr. Chairman. Mr. SLACK. How much did you allocate last year? Mr. ZACHE,M. All of it. Mr. ALEXANDER. Mr. Chairman, this is an item which is used for four guidance centers and experimental and demonstration programs, and from this are financed research and demonstration centers such as the youth center at Englewood, the National Training School for Boys,. for cottage counselors in guidance work with youth, so that this has been earmarked, and used, as I understand it, exclusively for these purposes, which include the prerelease guidance centers and the experi- mental and demonstration programs. 46-866-65-16 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Mr. SlAcnr. Any questions? Mr FLYNT. I was going to ask about the effectiveness of your guid- ance centers or halfway Houses as you have evaluated them. Ilovv would you describe the results? Mr. ALEXANDER. The results, I think, are exceptionally promising. These juvenile offenders, after being in our institutions a year or a year and a Half or 2 years, leave the institution abruptly and go back into the community-and keeping in mind most of these people come from slum areas---the experience in this has been most unhappy through all the years. The. prerelease guidance center provides a place to lyi, a,controlleci setting, they are. evaluated on the lobs and on the homes, and it provides a gradual release presently of 2 to 3 months. We have had some built-in evaluations which seem to prove we have had some success, rather than having these pee le, after being in an institution, suddently put back for example on le, Madison in Chi- cago in the same old environment, Mr. FLYNT. Do you feel the program has been in operation long enough to give you a good idea.. in regard to figures and percentages in the reduction of repeating-hype offenders? Mr. MoELLER. I do not believe we can give a sl~ecific answer to that. Ware continuing to study the rate of success to date. The indications are we are being successful in about 70 percent of the returnees to the centers. I would not like to be held to that figure, however, because we have not had a long enough span to follow up, but the indications are we are doing very well, By contrast, the rate for return of parolees runs between 42 and 46 percent, and our figure is closer to 30 percent. Mr. FLYNT. Are the people carefully screened who are sent. to these centers? Mr. MoELLER. Yes. However, as we have gained exj erience in the use of the centers we have been able to broaden the criteria consider- ably, Mr. FLYNT. It is encouraging that you are broadening it.. Mr. Moiu.En. Initially we imposed rather serious restrictions on the selection, but currently we are eliminating from transfer to the centers only persons who have long histories of narcotic addiction, ppeople who have serious behavior problems and who have shown acute difficulties in adjustment, Afr. Ay,,-r. It is a fact. that the overall purpose of this is to keep these people froiii ever coming back into the prison system? Mr. MOELLER. That is the objective. Mr. FLYNT. Do you feel you are on the road to achieving that oh- jective? of r. MOEIJ,FR. I feel we are making progress. A fl-, AI,:k.tNDEI. I Might say this is a rograni Which has many di Grew aspects throughout (lie country. The State of North Carolina has 2,000 of their 10,000 initiates out on work programs but coining back to the. institution it, night. I went to North Carolina and spent a week familiarizing myself with the program. It is a promising Iirogriun. W iscoiisin has it. California, whose prison population now has exceeded ours, is using both halfway houses and prerelease pro- grains. I think the most, promising aspect is that. there is a most hope- Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 241 ful prospect that some years in the future we will be coming in for less money rather than more money. Mr. FLYNT. That is all. Mr. SACK. Mr. Joelson? Mr. JOE, LSON. Did I understand you correctly that the prison popu- lation based on narcotics offenders is down?' Mr. ALEXANDER. The residual of narcotics offenders, the carryover from year to year,, is now decreasing, When the Narcotic Control Act of 1956 was passed there was a tremendous number of very long sentences imposed and from year to year this gave us an ever-increasing backlog of narcotics offenders in our institutie~ps that were. not eligible for parole and the sentences were long, et cetera. Now that has reached a plateau and is decreasing. Mr. JOELSON. You do not mean to suggest there is less sentencing of narcotics offenders? Mr. MOELLER. So far as. narcotics commitments are concerned, there. has been -a fairly steady decline from a peak. of 1,060 commitments received from the courts in fiscal 1961 to about 875 in 1964 and, as Mr. Alexander was pointing out, the year end population as decreased from 3,650 in 1961 to 3,240, roughly, in 1965. This is a factor of large naWsr of-mer having=?comp!e, ...,the.,wrvio. of long manila hory- sentences. Mr. JoELSON. Of course I know this is not your responsibility, you do not sentence them, but it is surprising to me: that, in view of the obvious increased use of. narcotics, the number of people sentenced is off considerably. This is very surprising to me unless the State courts: are doing more in this field. ADDITIONAL ON GUIDANCE CENTERS Getting back to the halfway houses, do I understand the prisoners :actually live there? Mr. ALEXANDER. Yes; our halfway houses now are, operated for juvenile and youthful offenders. Mr. JOELSON. Only for juvenile and youthful offenders? Mr. ALEXANDER. At the present Lime only for Juvenile and youthful offenders, and in this we work in close coordination with the Board of Parole, with the Youth Division of the Board of Parole. Mr. JOELSON. What is the average age? Mr. MoELLER. They range from 18 to 25. Mr. JoELSON. They actually reside in these halfway houses? Mr. ALEXANDER. A typical one would be at Chillicothe, where he gets training to be an aircraft mechanic and lie is certificated by the Federal Aviation Agency. Instead of being paroled he is transferred to u. halfway house, say, at Detroit. Mr. JOELSON. Who determines that? Mr. ALEXANDER. That is determined jointly by our Bureau staff and the Board of Parole. The inmate is still in -our custody and under our control. The youngster is observed and when he reaches a point where he seems self-sufficient, a parole is granted. This is the way it works. Mr. JOELSON. In other words, he has gainful employment during Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 242 the day and must check back there at night.? . Mr. ALEXANDER. That is right.. In the evenings they may take a group of boys to a ball game. Our prerelease house at Detroit is right across from the stadium and the manage.r-of the Detroit Tigers gives them passes so that they got into the community both in work and in recreation. Mr. JOELSON. Do they keep the pay they receive? Mi. MOELLER. If I may speak to that, the staff of the. guidance cent- ers work out a budget with the residents, Theyy are allowed part of their income to provide for ongoing needs. The longer they stay in the center the more 1.11641 are expected to take care of their own needs. The remainder of teir income is deposited in a joint account With the director of the center and is available to them upon leaving the center, Mr. JoELsox. You mentioned the poverty program as partially sup- porting the District of Columbia Center. Is that for maintenance: or' consttructi{fin? Mr. MOELLER, This is ppart.Ivi for the rental of the building, which is the 12th*Street YMCA Building in the Cardona district, and partly for remodeling the-quarters, and some funds for staffing. -Ir. Jonsox. Do you know where the Antipoverty Act provides this, what section, of hand? r. Moi?;LLER. I ain sorry, I do not. GUIDANCE CENTER IN NEW YORK Mr. JoELSON, Where is your guidance house in New York City? Mr. MOELLER, It is the Christ Presbyterian Church House, 3,44 West 36th Street. Mr. JoELSOx. Is it in a, house? - Mr. M0ELI.ER. We occupy the fourth floor of the Christ Presbyterian Church House on a realral basis. This center is operated under con- tract with Springf ield College, Springfield, Mass, Mr. ALEx.1XDER. We will be very Happy for you to visit it and talk to th?bovs. Mr: JOEI.soN, That is all, Thank you. Mr. SLACK, How closely have yo New York? you been supervising the center in Mr. MOELLER. Mr. Chairman, we have been trying to provide very close supervision. Mr, SLACK. Have you been actually supervising it? Mr. MOELLER. I believe so; yes, Mr. SLACK. What percentage of these people get into trouble and break their parole? Mr. MOEIJ,ER, In New York, sir? Mr, SLACK. Yes. Mr, MOELLER. Mr. Chairman, of G1 residents released from the. New York center in 1062 and 1963, 20 became parole violators or committed new offenses. If r. SLACK. Mint is the total for all four of them? Mr. MOELLER. Of 320 releases from all centers in the same period 106 were failures. Mr. SLACK. The total percent that cause you trouble and violate their parole? Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 '243 Mr: MoELLhR. About 30 percent; Mr. SLACK. And these are reported to be the cream of 'the crop? Mr. MOELLER. No, sir. Mr. SLAGS. They are not? Mr. MoELLER. They are not. As I' said, initially we did select very carefully but as we-have gone along we have:tried to accommodate in the center almost any juvenile or youth that~had need for it Iv: Mr. SLAG. What was your )total appropriation for the New ?York Guidance Center?- Mr., ZACHEm; In 1964. it was $98,700. This year it will- be c:onsid.- ,erably less because we are -sharing the expenses with the.State of New York,: Mr. SLACK. , In. view of thefact you are closely supervising it, are you satisfiedwiththere'sults?`' - Mr._MoELLER. Mr; Chairman, .1 would"say we are quite encouraged by the results; yes, sir. Mr. SLACK. But you are not satisfied with the operation? Mr. ALExAI4 Et:.' I think we sliould'poitt'diit that these are experi- mental programs, Mr. Chairman... We could have excellent resulf~ if we took only the cream of the orop,.but as we go along we are trying different kinds ol''populaGians in the centers. As I 'say, i't" is experi- mental'atthiS oint.' Mr .' SLAC My question `was': Are you' gat 7fied with the operation eider this contract? Mr. MOELLER. With respect to the New Yoik.Eontraot, I"would say we have been generally satisfied. There has recently been,a change in directors of the center' under the contract , and' we are quite im- pressed by his abilities. We think . he is going to provide strong leadership. We-h:ave had a" number of'difficulties in finding a suitable place to house the New York Center. Mr. SLACK. Excuse me, but you are either satisfied with the open- atioi'or you' -are not satisfied. The answer would be "Yes" or "No." Mr. MOELLER. I would say "Yes." Mr. SLACK. Any further questions? REDUCTION IN PAROLE vIOLATION8 Mr CEDERBFRG. What is the normal percentage of parole violations? Mr. ALEXANDER. With this'age group?- Mr, CEDERi;ERG: Yes; with this age group that you. have-in .the half- way houses. , What I am getting `at : -You say you have :30 percent who violate their paroles, What is. the normal, experience of those who do not go to the half wayhouse ? Mr. MOELLER.; 1n the'aggrogate, between 42 and 46, percent Mr. CEDE, RBERG. So we have had about am 12-percent .improvement? Mr..MOELLER, Hopefully:. Mr. CEDERBERG. I think this halfway house idea is'a, good idea end is certainly worth a try. Any time you 'can. reduce the,, number of people who violate their parole you reduce the potential prison popu- lation :Mr. ALEXANDER. Any time we discuss parole violations in,terms of success or failure, there. are so many variables: An experimental pro- ,gram in California,. where a parole officer, carried a caseload: of '15; they had parole violations of 50 percent. Our normal youngsters living Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 244 under nu i'vision of a pnrole, c ver-with x -cselond of 150 are less liable to be found in violation. In a halfway house he is under in- tensive supervision. So the fact there is 30-percent violation, it is very difficult to say this is a proportionate number. It may be they are more effective in detecting violations, Mr. CEDERBERO. I notice your prison populAtinii is down this year yet you want 56 new employees. Mr. ALEXANDE1t. Yes, sir. The reduction in our base for personnel for 1965 will be reflected in a supplemental for a pay increase, plus a ,reduction-iii the 1966. budget.-estnn tes, totals. a $530,000 .reduction: These reductions will come in our custodial officers, maintenance per- sonnel, some through the closing of the Atlanta farm operations, camps, and other areas. We are not asking for a single person addi- tional in the operating personnel but only for an increase in profes- sional people to develop and intensify our programs, so they are, for program improvements, Mr. CEDERBERO. On page, 27-7 of the justifications is a request for 16 additional record office clerk-stenographers. You state: Experience to date Indicates that from three to five additional civilian em- ployees are required to do the work on racords which is now done by Inmates. Why can you not continue to have the work by inmates? Is there some prohibition of this? Mr. ALEXANDER. The records on inmates contain retorts of IT.S. attorneys, investigative reports. field investigations by probation officers, and much confidential material. Mr. CEDEIMERG. It was confidential before when the inmates were doing it ; was it not? Mr, ALEXANDER. That is right. I understand this committee, several years ago, authorized additional clerk-stenographers for fiscal 1963. I understand in the institutions where inmates have been eliminated from the records offices, we have had no instances of material on indi- vidual cases gettin into unauthorized hands. There is a tremendous amount of material inmates can use. '"lien you have an inmate work- ing with record, no matter how selective you are, the price is pretty high, for instance, on psychiatric reports. We want to maintain our responsibilities to the investigative agencies. Mr. CEDERDERG. Will tlie, granting of these additional positions do away with all work on records done by inmates? Mr. ALEXANDER. In all our penitentiaries, in the larger. reforma- tories, and in Springfield. It will not. do away with them in some of the smaller correctional institutions, but we view that, as the next im- portant step forward in the institutions. Mr. CEDERDERG. That. is all I have, Mr. Chairman. Mr. SLACK, Mr, Andrews? Mr. ANDREws. To follow through on this a little more, I can under- stand the problem when an inmate is working on records of inmates and is put. back in the bullpen, the tendency to communicate these records is high. But more and more we talk about. job opportunities and job training and rehabilitation. Would it not be well to examine whether. you-eould have sep rate facilities for these inmates Who work Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 245 V11 e. 9rdko.s.4 that, vl~pi they, do leavo the p ;icon :at t e. end of -their senteuce they have had this on-the-job training, so to speak? If the objection is the communication back to the other inmates; would it not be justified to isolate these individuals? Mr. ALEXANDER. I have two comments. First, this is a very small portion. of our clerical work. In many of the, shops throughout the institutions we use inmates in clerical capacities. We have typing courses and clerical courses in which we train people. In this one specific area of inmate records we think we are running serious risks, We think we have, some. very, cgmprehensive. programs in, ,traiuing people for clerical, secretarial, and even bookkeeping work. Mr. ANDREWS. Thank you., Mr. Chairman, that is all, Mr. SLACK. The committee will recess until 2 o'clock this afternoon.. ?Anr NooN S sS ON Mr, SLAcL. The committee will please come to order. ; ., B~AIW om *4lt IL Mr. Director, you. are presently handling mail for, the Board of Parole, are you not? Mr. ALEXANDER. Yes; mail and files, sir. Mr. SLACK. Is it your desire to discontinue this or to continue it? Mr. ALEXANDER. )Jr. Chairman, this question to which you. refer just came. to my attention the other day. The Chairman of the Parole Board and I have discussed it and we are prepared to handle the whole load of the work. Mr. SLACK. Mr. Director, I have before me the report to the Con- gress from the Comptroller General of the United States dated June 15,1964. This report says, and I quote : This report -concerns the unreasonably expensive construction by the Bureau of Prisons,, Department of Justice, of a one-family ;empioyee? residence at :the U.S. Penitentiary, Leavenworth, Kans. Our reviewdisclosed that the Bureau incurred costs of about $100,000 to construct and furnish a residence for the warden at the penitentiary and to extend utilities and a road to the residence site. About $24,000 of this amount represents the estimated cost of inmate, labor which was used for most of the construction work. The cost of this house is about three and a half times the maximum amount authorized to be spent for a comparable family housing unit,of 'a commanding officer of a military post. within the United States. We believe that such an investment in a one-family dwelling is unreasonably high and that there is a need for a limitation on the amount a penal institution may invest in the construction of one-family dwell- ings. Our review showed also that this house exceeded by about 50 percent the limitations prescribed by Bureau of the Budget Circular A-18 as to the size dwellings which may. bte?'`constru cted. -We- algo}ndte . that certain costs applicable to the project were not properly recorded and were not readily identifiable from the records. What do you have to say about this, Mr. Director? Mr. ALEXANDER. Mr. Chairman, when I came back as Director the first of September this report was made available to me very early. I have reviewed the report. I could see no action I could take. The residence.has been completed and is being occupied. I am certain ?WmyMptinci'p cl eoncei is would~be'aboutfuture 'construction. W have Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 246 no staff housing, as- you will notice, in our budget request for this year, nor do we in the foreseeabl future plan any staff housing. In retrospect I recall that it had not been customary to chard the cost of inmate labor in the construction of houses. This was a new factor I noticed in reading the report. All I can say is that as of now we have no staff housing of any kind projected for the future. And, secondly, should we leave at any time in the future, we would abide strictly by the Bureau of the Ilud et standards and by the standards of military housing which would be applicable to us, flint, is about all I can say about it. . Mr. SLACK. Is'there need for the warden to have a. suitable d>elliiig for official enterta.iniilent Mr. ALEXANDER, The official entertainment which a warden does, Mr. Chairman, from time to time is for visiting officials from other States; there are occasions when a Governor comes by, or fellow war- dens; members of the'I: AGENTS ? OTHERS 25 AND OVER Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 3. There are statutory increases amounting to-------------------- $389,040 4. There is a net increase in costs for providing for the support of the 330 additional employees requested for civil rights work who entered on duty in 196:i___________________________________ 145,065 5. The 117 employees who entered on duty in 1965 in connection with our expanded narnecheck search-procedures program were on the rolls for only part of that year. They will be on the rolls during the entire fiscal year 1966, This brings about increases in 1966 for salaries and related,othcr expenses in the amount of_ 220,532 G. There will continue to be a flow of security background investiga- tions covering the turnover of White (louse personnel in 1966. This will require the utilization of 30 full-year employees (18 agents and 12 clerks) as contrasted to 102 full-year employees in 1965 (62 agents and 40 clerks). This reduction in full-year employees on this program in 1966 results in a net decrease in costs of------------------------------------------------- -604,333 Net overall increase (1966)------------------------------ 4,285,000 When the items making up the overall $4,285,000 increase are broken down into the various categories shown on the exhibit just presented (Funds and personnel required, fiscal year 1965 versus 1966), it will be seen that $3,872,184 is applicable to personnel compensation while the remaining $412,816 affects "other expense" items. . HOOVER. Our investigative work has been on an upward trend over the past several years and increased sharply in 1964, particular].)- in the overall criminal category. This includes work ranging from numerous major criminal violations under our jurisdiction; such as the violations under the Federal Bank Robbery Statute which reached a new peak in 1964, to the mounting investigative problems confront- ing us in the civil rivhts field. The increasing criminal work stems from two main factors: First., there has been a steady receipt of added responsibilities and broaden- ing of our jurisdiction through legislative enactments and other official directives from the President and other sources. Secondly, our growing criminal work mirrors the increasing volume of serious crime which confronts the Nation's law enforcement agencies at all levels. Illustrative of the continuing effect of new legislation on our work are the numerous items of legislation enacted in the fall of 1961, and shortly thereafter, the bulk of which is concerned with the Govern- ment's drive on organized crime. This group of laws had resulted in the opening of 20,090 new cases by February 1, 1965. This is an increase of 8,941 new cases since January 1, 1964. Additional work and responsibilities continue to be steadily en- trusted to the. FBI, This exhibit lists a number of the recent pieces of legislation falling in this category. Mr. ROONEY. We shall insert this statement with regard to the laws which give rise to new work for the FBI at this point in the record. (The statement follows:) LAWS WHICH WILL GIVE RISE TO NEW WORK FOR TILE FBI Public Law 88-ZO0, approved December 13, 1063.-Amends the Peace Corps Act to make it a violation to misuse the Peace Corps name, seal or emblem. Public Law 88-201, approved December 13, 1963 Makes unlawful the intro- duction, sale or delivery in interstate commerce of any seat belt manufactured which does not meet standards prescribed by the Secretary of Commerce. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 285 Public Law 88-251, approved December 80, 1963.-Extends the escape and rescue statutes to include individuals confined under the Juvenile Delinquency Act. Public Law 88-316, approved June 6, 1964.-Prohibits schemes in interstate or foreign commerce to influence by bribery sporting contests, and for other purposes. Public Law 88-852, approved July 2, 1964. Civil Rights Act of 1964. Public Law 88-353, approved July 2, 1964.-Amends existing legislation to bring Federal credit unions under the purview of that section which covers the submission of false statements to influence the action of certain financial insti- tutions. Public. Law 88-493, approved August 27, 1964.-Broadens the FBI's jurisdiction pertaining to the assaulting or killing of Federal officers and certain other indi- viduals, by bringing under the provisions of the statute additional designated foreign personnel as well as security officers of the Department of State or foreign Service. Mr. HOOVER. All of this has been accompanied by a growing num- ber of investigative problems in the security field as a result of stepped- up activities on the part of the Communist Party and the espionage attacks against this Nation by the Communist countries. URGENT SPECIAL TYPE OF INVESTIGATIONS Another factor which has had a great impact on our work and manpower is the growing number of urgent special-type investiga- tions, particularly in the criminal and civil rights categories. These require the assignment of numerous special agents to a single investi- gation and result in a severe drain on our manpower and other re- sources. The following situations illustrate this point: 1. The sit-ins, bombings and related racial matters at Birmingham, Ala., have involved a peak assignment of 231 agents and resulted in costs estimated at $699,880. 2. Following the disappearance of three civil rights workers in Mississippi on June 21, 1964, more than 100 special agents were brought into Mississippi from other offices to assist our staff already in the area. All told, a peak of 258 agents were involved in this and related matters. Our costs growing out of this investigation are estimated at $768,250 (Feb. 1, 1965). We have received the fullest cooperation from the Governor of Mississippi, Governor Johnson. The President sent me down to Mississippi in July 1964 to confer with him. Prior to that time, rela- tions had been most strained and very little cooperation was received from local authorities. As a result of our conference, Governor John- son has extended cooperation through the Mississippi Highway Patrol, which is an excellent investigative organization. I may also say that our men practically worked around the clock. As I said earlier, I went to Mississippi in July and saw the situation. They worked in the swamps which were infested with rattlesnakes and water moccasins. We got no assistance in the area and every effort was made to frus- trate the work of the agents. Many of our agents went without summer vacations. Only a few got home for Christmas. I believe our investigations have had a very salutary effect in the State of Mississippi in that there has been no similar act of violence since June of 1964. (Discussion off the record.) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 286 Mr. HoovER, 3. The investigation of the murder of Lt. Col. Lemuel A, Penn, which occurred while he and two others were driving along a Georgia road on July 11, 1964, en route to Washington. D.C., involved it peak assignment of 83 agents. Costs incurred in connec- tion with this matter are estimated at $103,090. We had the full cooperation of the Governor of Georgia as well as the State Highway Patrol. We also had a confession from a cocon- spirator. The local jury, however, acquitted the defendants. t'olonel Penn was a Reserve officer and had never been connected with civil rivhts matters and had been an outstanding teacher in the schools in \\ ashin ton, D.C. It was cold-blooded murder. 4. Numerous alleged violations of the Federal Train Wreck statute, including dynamitings in 1964, grew out of a labor dispute involving the Florida East Coast Railway. In addition to utilizin dozens of' special agents from our Florida offices, a special squad of 20 agents from out of State was utilized. 5. Tremendous demands were placed on our manpower as a result of the investigation regarding the assassination of President Kennedy and the subsequent murder of Lee Harvey Oswald. In addition to immediately moving over 80 additional people to our Dallas office alone, virtually ever- one of our field offices as well as our liaison offices abroad were involved in one phase or another of the investiga- tion. Among other things, some 25,000 interviews were handled. Mr. RooxI.Y. How many interviews? Mr. Hoovmt. 25,000. (Discussion off the record.) Mr. HOOVER. As an aftermath of the assassination, we assisted the Secret Service in the protection of the President when he visited various localities. We furnished a total of 534 special agents on 74 occasions. This, I believe, is going to be corrected in this Congress in the appropriation for the Secret Service. They have the full and sole responsibility for the protection of the President. As it is, we have had to work jointly and wherever that happens, if anything goes wrong, the placement of responsibility is very difficult. I must say that our relations with the Secret Service have beer. most harmonious. Mr. Rowley, who is the Chief of the Secret Service, was formerly an agent in the FBI, He is on the FBI National Academy faculty. I hand to the chairman a statement which deals with the report of the State Department, on the basis of which I characterized Oswald "not a risk." Mr. ROONEY. We shall insert this statement at this point in the record. (The statement follows:) STATE DEPARTMENT REPORT ON BASIS OF WHICH I CHARACTERIZED OSWALD As A "THOROUGHLY SAFE RISK" When testifying before the Warren Commission on May 14, 1964, 1 stated that a State Department report indicated lee Harvey Oswaldwas a "thoroughly safe risk." Such statement was based upon a Foreign Service dispatch from the American Embassy in Moscow to the Department of State, Washington, D.C., dispatch No. 29 dated July 11, 1961. This dispatch set forth a summary of Oswald's visit to the American Embassy, Moscow, U.S.S.R., oil July 8, 1961, at which time Oswald requested to return to the United States with his wife. The dispatch Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 287 contains the following paragraph relating to Oswald as noted by the American Embassy interviewing official, Mr. Richard Snyder: "Twenty months of the realities of life in the Soviet Union have clearly had a maturing effect on Oswald. He stated frankly that he had learned a hard lesson the hard way and that he had been completely relieved of his illusions about the Soviet Union at the same time that he acquired a new understanding and apprecia- tion of the United States and the meaning of freedom. Much of the arrogance and bravado which characterized him on his first visit to the Embassy appears to have left him. Ile stated that he is in contact with his mother and a brother in the United States. He stated that he had about 200 rubles and that he and his wife would save more for eventual costs of traveling to the United States." Further indication that the State Department did not consider Oswald a risk is shown by the fact that the State Department renewed Oswald's passport for a return to the United States and gave him a loan in the sum of $435.71 to finance his and his family's trip to the United States. Additional evidence that the State Department did not consider Oswald a risk is shown by the fact that when Oswald requested a new passport for travel abroad on June 24, 1963, wherein he indicated he planned to stay abroad for from 3 months to 1 year and to visit England, France, Germany, Holland, Russia, Fin- land, Italy, and Poland, the State Department saw fit to issue him a passport for such travel on the following day, June 25, 1963, Obviously the State Department, did not consider Oswald a risk in issuing him a passport on this occasion. ;Mr. HOOVER. I submit to the chairman a statement dealing with the question of making assaults on the President a Federal offense. In substance, it urges some action be taken by Congress to make it a Federal crime to kill or assault the President of the United States.; If it had been a Federal violation jurisdiction would have been under' the Secret Service or the FBI and the episode in Dallas following the assassination would never have occurred. Mr. ROONEY. We shall insert this statement at this point in the record. (The document referred to follows:) MAKING ASSAULTS ON PRESIDENT A FEDERAL OFFENSE Several bills have been introduced in Congress to make assaults on the President, the Vice President or other officers next in order of succession, a Federal offense. I am strongly in support of such legislation. However, I am opposed to divided investigative jurisdiction under such legislation and I recommend that a clear, unequivocal statement identifying the agency which is to have investigative jurisdiction be incorporated in the legislation. This is absolutely necessary in order to avoid the confusion that flows from divided responsibility. I also feel it would be imperative that the proposed legislation designate the President and specifically name the official position of the successors to the office of the Presi- dency who are to be within the purview of the statute. I have repeatedly expressed this view to the Department of Justice in suggesting this type of legislation. Mr. HoovER. 6. 1 would also like to refer to the fact that under the provisions of the Civil Rights Acts of 1957 and 1960, we conduct numerous, involved investigations of alleged racial discrimination in voting. These matters frequently make unusual demands upon our manpower. They have involved thousands of interviews and the making of nearly 1 million photographic copies of voting records. I submit to the chairman a page of my testimony for insertion in the record. Mr. RODNEY. At this-.point; we shall insert the page to: which you have made reference. (The material follows:) Being faced with a growing amount of work and added responsibilities, we have been hard pressed to cope with all of the demands and there is no indication but, 46-866-65--19 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 288 that our work will continue to increase. Also, in handling the numerous urgent matters in the civil rights area and in the criminal field, many of which have involved the assignment of large numbers of personnel, we have had to divert manpower from other vital assignments. At the same time we have had a very real need for broadening our coveragge in the security field to meet our important responsibilities in that area. We have not been able to do this with the minimum personnel available. This is the situation which has compelled us to request additional personnel in the fiscal year 1966 so that we might have the minimum personnel available to continue to handle new programs, such as that concerned with our expanded name check search procedures, and to provide the needed additional coverage in vital areas of our work, particularly in the security field. Mr. IloovER, I )resent to the committee an exhibit concerning the overtime service of our special agent personnel. By reason of the heavy volume of investigative assignments in the field, we aggregated 3,330,265 hours of overtime in 1964 as compared with 3,175,081 hours during the prior year. The 1964 overtime service averaged 2 hours and 28 minutes each workday. Our agents are only paicffringe benefits for 1 hour and 12 minutes. Mr. ROONEY. We shall insert this document with regard to over- time service at this point in the record. (The document follows:) We have attempted to hold the overtime service of our investigative staff to a minimum. Investigations involving bank robberies and the like require imme- diate and continuous investigation and thus we inevitably have extensive over- time work in numerous situations. With the heavy volume of investigative assignments throughout the field, many being of a highly urgent nature, the overtime service of our investigative staff reached an aggregate 3,330 265 hours during 1964 as compared with 3,175,081 during the prior year. The 1961 overtime service averaged 2 hours and 28 minutes each workday. This was over two times the minimum overtime (1 hour 12 minutes) necessary to qualify for the limited payments under the fringe benefits regulations of the Civil Service Commission. The substantial cost-free overtime service on the part of the members of our investigative staff greatly increases their productive capacity, the overtime in 1964 being equivalent to the service of 1,601 special agents on a full-year basis. Had it been necessary to employ the additional 1,601 agents the cost would have been $19,152,129. The overtime, however, was compensated under fringe bene- fits regulations only to the extent of $6,175,191, resulting in cost-free Service to the Government of $12,976,938 when compared with the value of the total overtime performed, (Discussion off the record.) Mr. IloovEit. The only appropriation language change is that re- garding the purchase of automobiles. For the fiscal year 1965, the original language provided for the purchase of 501 vehicles, all for replacement purposes. The supplemental request for 1965 will provide for the purchase of an additional 100 vehicles, none of which are for replacement. This would bring the total to be purchased in 1965 to 601 vehicles. The current language for the fiscal year 1966 provides for the purchase of 601 vehicles, of which 501 shall be for replacement only, thus providing for 100 additional vehicles. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 289 Taking into consideration the 100, additional vehicles proposed for purchase in 1965 for civil rights work and the 100 additional vehicles proposed for purchase in 1966 for broadened coverage in the security field, none of the vehicles being for replacement in either instance, our authorized fleet will increase from the present total of 3,304 to 3,504. I submit to the committee an exhibit itemizing the mileage and age of our cars. Mr. ROONEY. We shall insert this itemization with regard to vehicles at this point in the record. (The exhibit follows:) Itemization of FBI authorized fleet of 3,304 passenger-carrying vehicles by year models and estimated accumulated mileage groups for fiscal year 1966, with summary showing vehicles meeting replacement standards during 1966 Miles 1951 1955 1956 1959 1960 1961 1962 1963 1964 1965 Total Oto 9,999------------------------ ------ ------ ------ ------ 2 ------ 3 1 78 501 585 10,000 to 19,999------------------- ------ ------ ------ -- --- ------ ------ 1 9 129 ------ 130 20,000 to 29,999___________________ ______ ______ ______ ______ 4 6 11 48 127 ------ 196 30,000 to 39,999___________________ ______ 3 9 16 33 79 85 ---- 226 40,000 to 49,909___________________ ______ ______ ______ 9 26 64 101 143 46 ------ 389 50,000 to 59,999___________________ ___ 23 60 98 100 84 22 ------ 393 60,000 to 79,999___________________ 1 1 --- 115 177 161 156 102 10 ------ 723 80,000 to 99,999___________________ _ 1 1 154 130 90 64 28 1 ------ 469 100,000 and over_________________ ______ ______ _ 17 76 .57 25 6 3 ------ 184 Totals_____________________ 1 2 2 321 484 492 500 500 501 501 3,304 Summary showing vehicles meeting replacement standards of either 6 years age or 60,000 miles of operation Number meeting mileage standard but not age------ .------------------ 703 Number meeting age standard but not mileage------.------------------ 137 Number meeting both age and mileage standard-----.------------------ - 673 Total number of vehicles meeting replacement standards--------- 1, 513 Replacements included in funds requested----------.------------------ 501 Number meeting replacement standards for which no funds are being requested------------------------------------------------- 1,012 Car replacements have been held to an absolute minimum. An estimated 1,513 vehicles in our present fleet of 3,304 will have met replacement standards (6 years of age and/or 60,000 miles) by 1966. Under existing regulations up to 25 percent of the 3,304 cars, or 826, could have been considered for replacement. Because of our responsibilities, it would have been highly desirable to have requested replacement of the maximum number of the older, high-mileage cars in 1966. Instead, we held the replacements down to 501. Mr. HoovER. I hand to the chairman an item dealing with reim- bursements. Mr. ROONEY. We shall insert this item at this point in the record. (The item follows:) It is estimated that reimbursements totaling $1,311,074 will be received during the fiscal year 1966. These funds, which are for work performed for other Govern- ment agencies and from the sale of automobiles to be replaced, are not included in our direct appropriation request. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 290 Itemization of estimated reimbursements, fiscal Fears 1965 and 1966 Atomic Energy Commission -------------------- Workload: Investigations. Civil Service Commission (Unclad Nations pro~ram) ............. ----- ............ 5Y orkloads: Name checks ........................... Full?Oeld (loyalty) Investigations....... Agency for International Development--.--_--. Workload: Training of foreign police omcers. Office of Science and Technology ............... Workload: Investigations--.. --.. - -. ---- - --- House Appropriations Committee (loan of per- sonnel)--------- ............................... Subtotal of reimbursements from other accounts . ---? --------------------------- Proceeds from sale of cars to be replaced --..-... Number of cars to be replaced . ------------- Proceeds from sale of typewriters --------------- Fiscal year 1965 $1079,000.......... 2160 at $416....... $79,674............ 1,346 at $1.75....... 78 at 3990__....... $32,000..---------- 40 at SSOO.-..-.-... $49,500---__-_--.-- 50 at 5990..-.--...- Flsea year -$41, 00 51,037,500.......... 2,500, at $415...... $79,574............ 1,345, at $1.75...... 78 at $311,000.. ---------- 40 at$800-_----__- 50,at $900--------- $1,543,734 ..- ...... . $112500........... (5011--....?------- $10,160-...-.-._... $1,198,574.... .......... $112,500.......-... (501)-------------- ------------------- 51,6X,394-.----_--j $1.311,074..-.-.-. -$10,160 -&360,32D Fiscal year 1965 Agents--------------------------------------------- 76 Clerks-------------------------------------------- 40 Total---------------------------------------- 116 58 -18 39 , -1 Mr. ROONEY. By the way, I notice on the exhibit concerning reim- bursements the loan of personnel to the House Appropriations Com- mittee for which you are reimbursed $305,660. Have any of those people included in this been assigned to this subcommittee or to me? Mr. HoovER. At no time has any individual from the Bureau been assigned to your subcommittee. Mr. ROONEY. Apparently you were not able to convince Newsweek magazine of that, Mr. Tolson? Mr. TOLSON. I tried. Mr. ROONEY, They said I had five personal agents at my beck and call and then they came back and said, when Mr. Tolson protested, "No; it was six," Mr. HOOVER. They stooped to a new low in reporting. (Discussion off the record.) Mr. HOOVER. Of possible interest to the chairman are items which appeared in the December 23, 1964, Gallagher report and an item which appeared in the National Review of December 22, 1964, Ralph do Toledano in his King Features article "Ill Washington? released on December 5, 1964, gives his version of the attacks upon me. Mr. ROONEY. We shall at this point insert these items in the record. (The items follow:) Fiscal year 1 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 291 NEWSWEEK STOOPS To NEW Low IN REPORTING December 7th cover story on J. Edgar Hoover and the FBI: According to Fed- eral Bureau of Investigation Associate Director Clyde Tolson, story contained nu- merous misstatements of fact; e.g., (1) President Johnson is disenchanted with Hoover, seeks replacement; (2) FBI falsified car theft statistics; (3) Hoover never bothered to send note of condolence to Senator-elect Robert Kennedy when President Kennedy was assassinated. Newsweek Editor Osborn Elliott's reply (Newsweek, Dec. 21) unconvincing. Editor and publisher quotes Elliott as calling blunder "part of the game." EDITORIAL RESPONSIBILITY AND INTEGRITY Important to advertisers as well as readers, editorial disparagement of J. Edgar Hoover and FBI may cause advertising cancellations. Freedom of press and liberal approach no excuse for inaccurate, sensational reporting. Elliott should learn from mistakes Clay Blair made while Saturday Evening Post editor. No justification for generating editorial excitement at expense of accuracy, integrity. (The Gallagher report, Dec. 23, 1964) [From National Review Bulletin, Dec. 22,1964] What was once the suspicion and dislike of the Johnson forces for the Kennedy claque has turned with startling suddenness into an enmity as murderous as a back-country feud. Cause for this metamorphosis is the attempted verbal assas- sination of FBI Director J. Edgar Hoover by Newsweek magazine. Though-the plot confused and bemused the New York Times, the more sophisticated of Washington political observers saw it for precisely what it was: an effort to drive a wedge between Mr. Hoover and President Johnson, to the detriment of both. The vehicle was, in itself, a major tipoff. Robert F. Kennedy's ties to News- week's Washington Bureau have long been the subject of wry comment in press and political circles here. This love affair has continued even though Bobby Kennedy has ceased to be a fountainhead of power in national politics. News- week itself corroborated the general suspicion that its J. Edgar Hoover story was inspired by the Kennedy grouping when it announced that the sources of its statement that the President was "disenchanted" with Mr. Hoover came from a "reliable White House source." Mr. Johnson's people do not babble to the press unless they are under orders to do so. The President's discipline is iron and has not been ignored successfully to date. The only talkers in the White House contingent are the remaining Kennedy appointees. The canards in the Newsweek piece were, moreover, so transparently false and so easily demolishable that the Johnsonites would never have utilized them. The charge that Mr. Hoover had failed to send condolences to Mr. Robert Kennedy after the assassination of his brother, immediately. countered by publication of the letter that had been written at the time, gave the lie to the snidest of the accusations. Unless Quincy missed it, Mr. Kennedy has yet to speak up on this point. These matters aside, there is little doubt in anyone's mind that, at this particular point, Mr. Johnson has no desire to stir up unnecessary controversy. His relations with Mr. Hoover and the FBI have always been good--and it is fairly common knowledge in Washington that as Vice President he was one of those who counseled an end to the younger Kennedy's guerrilla attack on the Nation's internal security forces. Mr. Johnson has been aware of Mr. Kennedy's deci- mation of the Justice Department Internal Security Division. To continue any lighthearted dismissal of the Communist threat would hardly fit in with the administration's current strategy. That strategy, at the moment, is to prevent any rocking of the boat. The Johnson honeymoon, most observers are agreed, has begun to sour. This increasing political testiness may not find voice in the Congress, a body notoriously slow to respond to external stimuli. But those who make it their business to test the public responsiveness report that the various groups which made up the Johnsonian political harem are beginning to practice the rolling-pin "swing, an'd' the sidehand throw. With great problems on his doorstep, Johnson would hardly engage in a vendetta meaningless to him and so potentially harmful. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 . Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 292 (From King Feattirea S ndlcaka, New York, N.Y., Dec. 5 and 6,19&4] IN WASHINGTON-BEHIND THE NEW ATTACKS OY J. EDGAR HOOVER (By Ralph do Toledano) The Story, published prominently in Newsweek, that President Johnson is "disenchanted' with FBI Director John Edgar Hoover has been thoroughly knocked down by the White House, The President, in fact, has tacitly repri- manded the news magazine by wondering out loud why no check was made with him before so sensational a charge was made. The President is aware that the story did no good to the cause of law enforce- ment-or to the orderly conduct of his administration. Mr. Hoover and Mr. Johnson have long enjoyed confidence in each other and the net effect of the canard, had it been accepted, could have been to encourage a rift between the two men. What remains unexplained is why the story was written, who inspired it, and what led Newsweek to include in its attack on Mr. Hoover a number of assertions which do not hold up under research. Those who cover the Washington scene have been more intrigued by this aspect of the controversy than by the possi- bility, now removed, of bad blood between the FBI Director and the President. Some indicators are being discussed here. It is noted that the story originated in Newsweek's Washington bureau, whose chief is on the record as an intimate of the Kennedy family. Senator-elect Robert Kennedy, who bears no love for President Johnson, has in the past made use of the "inspired" story. Since the major beneficiary of a Johnson-Hoover feud would be the Kennedy wing of the Democratic Party, observers are putting two and two together, though perhaps they have come up with the wrong answer. Eyebrows certainly were raised when the Newsweek piece charged that Mr. Hoover had neglected to write a letter of condolence to Bob Kennedy, then Attorney General, at the time of JFK's assassination. The FBI has since re- leased the text of a letter written by Mr. Hoover right after the tragic hours in Dallas. However little in common Mr. Hoover and the younger Kennedy held, it would be unthinkable for the FBI Director to have remained silent at that time. Why, it is being asked, was this never checked with the FBI prior to publication of the Newsweek piece? And why does the offending article state flatly that the FBI has assigned five agents to Representative John iooncy, Democrat, of New York, chairman of the subcommittee handling FBI appro- priations. This is not a fact, but it does reflect on Mr. Hoover and Mr. Rooney. As a charge, it was certainly subject to cheekin*. Interestingly, Newsweek quotes former Assistant Attorney General Warren Olney III, a Republican, on the FBI's alleged failure to investigate the disappear- ance of Jesus J. Galindez, an anti-Trujillo professor from the Dominican Re- public, in Now York City. This was a sensational case, making many headlines. The simple fact is that the FBI had men working on the disappearance both in the United States and in the Dominican Republic. Other Government agencies also participated in the investigation, with no success. This could have been verified by a routine search of the files on the case. The charge that the FBI is guilty of "foot-dragging" in civil rights cases and in organized crime must come as something of a surprise to many people, The FBI's antierime performance is a matter of record, as the unwilling residents of our Federal prisons can attest to. As to civil rights, the FBI has been sharply criticized in the South for overzealousness. Those who have seen the Bureau at work know that both charges are false. The FBI has done its work in civil rights cases against tremendous odds. It has neither acted reluctantly nor has it crusaded, Even in the face of these inaccuracies, Newsweek has stuck to its story. It has cited an important but unnamed personality as the source of its information. There has been considerable speculation in Washington as to the identity of the informant. But it is generally agreed that he is not a member of the LBJ team, Unlike previous Presidents, r. Johnson has been able to prevent leakage from those loyal to him. But it is not lost on the inquisitive that Robert Kennedy has long hoped to remove Mr. Hoover from his post as FBI Director. Efforts to achieve this end failed in 1901 and 1962. The frontal assault was dropped in favor of sniping from concealed positions. Whether justifiably or not, the current onslaught is considered to be part of that campaign. With the FBI's workload increasing and the rising threat of subversion ever present, this latest attack makes no sense -even in the fevered atmosphere of Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 293 Washington politics. The President, I am sure, will hardly appreciate these efforts. INVESTIGATIVE ACCOMPLISHMENTS-FISCAL YEAR 1964 Mr. HoovER. Turning to the field work of the Bureau, the growing work and productivity of the FBI during the fiscal year 1964 are reflected in the growth of its accomplishments. Convictions in FBI cases during 1964 totaled 12,921 as compared with 12,816 during the prior year. The convictions during 1964 represented over 96 percent of the persons brought to trial and 91 percent of these resulted from guilty pleas. I submit to the committee a chart which graphically shows these accomplishments. Mr. ROONEY. We shall at this point in the record insert the chart "Percentage of convictions, fiscal year 1964." (The chart follows:) PERCENTAGE OF CONVICTIONS FISCAL YEAR 1964 462 ACQUITTALS 3.5% 12,921 CONVICTIONS 96.5% 13,383 PERSONS 12,921 TOTAL BROUGHT TO TRIAL CONVICTIONS 1,128 ON TRIAL BEFORE JUDGE OR JURY 8.7% 11,793 ON PLEAS OF GUILTY 91.3% Mr. HoovER. The courts imposed sentences, including actual, sus- pended, and probationary, totaling 38,196 years in connection with the convictions recorded in FBI cases during 1964. There were also 14 terms of life imprisonment imposed. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 294 FUGITIVES A total of 12,810 fugitives were located, tip 923 over the 11,887 located during 1963. AUTOMOBILES RECOVERED For the ninth consecutive year, a new peak was reached with the location of 19,856 stolen automobiles in FBI cases. This is an increase of 664 over the prior year. PINES, SAVINGS AND RECOVERIES Fines, savings, and recoveries in FBI-investigated cases increased $24,546,054 over the amounts recorded during 1963, reaching an all- time high peak of $210,771,402. When compared with the amount of the funds appropriated for the operation of the FBI during 1964, the total of the fines, savings and recoveries recorded averages $1.43 for each 81 of appropriated funds. I hand to the committee a chart which grap hically shows the FBI accomplishments and appropriations for the fiscal years 1962-64. Mr. Itoo. EY. We shall insert at this point in the record the chart "FBI accomplishments and appropriations, fiscal years 1962-64.,, (The chart follows:) FBI ACCOMPLISHMENTS AND APPROPRIATIONS DIRECT A-PRTfPIATIONS FINES, SAYINGS AND RECOVERIES I~ MOMS -J EOCARD AUTOMORftBS RECOVERED IN FH CASES Mr. HOOVER. I present to the chairman for insertion in the record two items, Mr. ROONEY. Very well, we shall insert these items at this point in the record, (The items referred to follow:) CONTRIBUTIONS OF CONFIDENTIAL INFORMANTS As in past years, the services of our confidential informants have been invaluable. Through their assistance during 1064 a total of 2,671 persons were located, includ- Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 295 ing 1,246 who were in a fugitive status at the time. Their assistance also led to the recovery of stolen merchandise and contraband valued at $7,111,988. Often information developed by our informants concerns matters under the jurisdiction of other, agencies. This information is promptly relayed to them. During 1964 this led to the arrest by other Federal and local agencies of 3,012 subjects and in the recovery of merchandise valued at $4,495,722. SEAT OF GOVERNMENT-SERVICE FUNCTION WORIC Turning now to our service function work pertaining to fingerprint checks, name checks, and the scientific examinations of the FBI Laboratory, all of this work is handled by our headquarters staff. On an overall basis there has been a continuing heavy volume of such work. A decline in the number of name checks received from outside sources was more than offset by the growing volume of fingerprint work, the sets of fingerprints received in the fiscal year 1964 having reached the highest peak in the 19-year period since 1945, and by the volume of scientific examinations which mounted to a new alltime high. Mr. HoovER. I hand to the committee a chart.showing fingerprint receipts of the FBI Identification Division. There were 5,846,347 sets of fingerprints received during 1964, up 125;810 from the 5,720,537 received during 1963 and the work is expected to further increase. Other related fingerprint work also posted substantial increases. Between 1963 and 1964 the number of police prints increased from 2,254,696 to 2,372,091 with 77 percent of those processed in 1964 being identified with prior prints on file. Mr. ROONEY. Mr. Director, how do you figure the 1966 fingerprint receipts will be static when compared with 1965? Mr. HoovER. The bulk of our receipts is determined by the extent of the submissions from other agencies. Our estimates are based on our actual experience, as well as indications from the contributing agencies of what their estimated submissions will be. We try to be as conservative as possible in making our estimates. Mr. ROONEY. We shall insert this chart on "Fingerprint receipts" at this point in the record. (The chart follows:) FINGERPRINT RECEIPTS FBI IDENTIFICATION DIVISION 5 ,832,677 5,846,347 5,850,000 5,850,000 P.15,202,907 5,496,374 ; 720,537 5 M4Z X ff f .5F ,,, S 2 ?5- 'IH ; Y - KAM- 10 3. Z F IJUI s. K F3 '.: 111", &Hl Y 3J4 .~. ~3F 'X \ Y~.SZf7 2 F&f ?3 7t#4 Yy 1960 1961 1962 1963 19644 1~996655E~ E5i119M66 ApprovedACTUAL For Release 2005/08/16: CIADP~ 0B S0338R00039840001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 296 FUGITIVES IDENTIFIED Mr. Ilooviiit, An idltime high of 20,270 fugitives being sought by local, State and Federal law enforcement agencies were identified by fingerprint searches during 1964. I present to the committee a chart reflecting this accomplishment. I think it shows the wisdom of this committee establishing back in 1924 the Fingerprint Division in the FBI and as this chart shows we reached an alltiine high of identifying 20,270 fugitives in the last year through fingerprints alone. Names mean nothing. Some.fugi- tives have as many as five or six aliases. Mr. ROONEY, We shall insert this chart on "Fugitives identified, FBI Identification Division, fiscal years 1962-64" at this point in the record. (The chart follows:) FUGITIVES IDENTIFIED FBI IDENTIFICATION DIVISION FISCAL YEARS 1962-1964 17,568 19,541 20,270` 1962 1963 1964 Mr. IIoovER. I should like to submit to the chairman a page from the text of my testimony that describes the work of the FBI's Disaster Squad. The squad is composed of technical experts who go wherever there is a disaster, such as an airplane crash, bus-train collision, or mine disaster. They are able to identify through fingerprints and other means the persons who have been killed. The bodies of the victims can then be returned to their families for proper interment. The services of the disaster squad have been very well received. The bodies in many cases are dismembered and partially burned, making it a very unpleasant task that is performed by the Disaster Squad. Mr. R.ooNEY, We shall insert that pave, at this point in the record. (The page follows:) The FBI's Disaster Squad assisted in the identification of the victims of eight disasters during the fiscal year 1964. These included five airplane crashes, a mine disaster a bus-train collision, and a hotel fire. Of the 341 victim3, finger- prints were oLtained from 271 and 244 of these, or 90 percent, were identified by this means. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 297 IDENTIFICATION DIVISION Mr. HoovER. Established on July 1, 1924, the FBI Identification Division celebrated its 40th anniversary in 1964 and today stands as a monument to the coordinated efforts and, mutual cooperation of local, State, and Federal law enforcement agencies across the country. Its stature as the world's foremost identification facility is attributable to the support and participation of law enforcement at all levels. The Division was established with a nucleus of 810,188 fingerprint cards and during its first year of operation there were 987 contributing police agencies. Today there are 13,947 contributors and the number of sets of fingerprints on file has risen to 173,562,341. I hand to the committee an exhibit which shows this expansion. Mr. ROONEY. We shall insert this exhibit at this point in the record, (The exhibit follows:) GROWTH OF FINGERPRINT FILE FBI IDENTIFICATION DIVISION NUMBER OF FINGERPRINTS PERCENTAGE OF CONTRIBUTORS IN POSSESSION POLICE RECORD 13,947 FM 173,562,341 M 987 ;'. 810,188 ?,Mil 1924 19651924 1965* FISCAL YEARS Mr. HOOVER. I present to the chairman a page showing some Identification Division statistics and also a page which deals with name check work that the Bureau is called upon to perform. Mr. ROONEY. We shall insert that information at this point in the record. (The pages follow:) Identification Division established------------------- July 1, 1924. Number of contributors---------------------------- 13,947 (Feb. 1, 1965). Number of wanted notices posted ------------------- 78,856 (Feb. 1, 1965). Number of prints of deceased and of persons 75 years of age and over removed from active file (Feb. 1, 1965) : Deceased----------------------------------------------------- 2,304,328 Age 75 and over----------------------------------------------- 1,815,337 Total-------------------------------------------------- 4,119,665 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 298 Prints on file and estimated number of persons represented (Feb, 1, 1965) Type and number Criminal.................................................................... Civil ........................................................................ 40,695,968 120,860, 373 Fingerprint workloads-Trend 1980-66 fiscal years 1900 actual .................................... 1961 actual ------------------------------------- 1962 actual ------------------------------------ 1%3 actual ------------------------------------- ION actual------------------------------------- 1965 revised estimate --------------------------- 19M estimate ................................... 5,907 . 5,496,374 6, 832, 677 6, 720, 537 5, 846, 847 6,850,000 6, 850, 000 293, 467 629, 770 517,630 643,440 647,093 647,093 Percent ...........8. 12 10 12 12 Persons rep- resented 15,757, L99 5% 702,342 Increase over 1064 3, 653 3,653 NAVE CHECKS Through its wide and varied investigative responsibilities, the FBI comes into possession of extensive data. This information is carefully indexed so that it is always readily available. At the present time there are nearly 5 million case files and over 50 million cards in the master index of this vital records system. Through its operation related items coming to our attention are promptly tied together even though occurring in widely separated sections of the country. This valuable centralized records system serves not only the FBI but many other Federal agencies through the extensive name check service available to them. A total of 1,68S,0GS name checks were handled during 1964, with well over I million being on behalf of other Federal agencies. Mr. HoovER. I hand to the chairman a chart which shows the volume of work received by the Laboratory. It has continued to expand over the years. We have the largest crime laboratory in the world and a high peak of 257,060 scientific examinations were made by our Laboratory during the last Year. Mr. ROONEY. Mr. Director, this chart which I hold in my hand, "Total FBI Laboratory examinations, fiscal years 1960-66" together with the chart we inserted in the record awhile ago where the figures for 1965 and 1966 are static, reminds me this is about the only agency in the Government which would have static figures for 1965 and 1966. If it were some other agency, the 1966 column would go up to the top of the page. Mr. IIoovER, IN e do not "balloon" our estimates. Mr. TonsoN. We use our actual workloads to slake our estmates. Mr. Roo:;EY. We shall insert this chart at this point in the record. (The chart follows:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 299 TOTAL FBI LABORATORY EXAMINATIONS 241,894 751,000` 259,000 259,000 224183 2319456, 3! _Ffy ; SI#a`"fy~ v#R tf x' 210,145 1960 1961 1962 1963 1964 1965 1966 ACTUAL ACTUAL ACTUAL ACTUAL ACTUAL ESTIMATE ESTIMATE *ALL-TIME HIGH Mr. HOOVER. I would like to hand to the committee several pages which deal with the work our Laboratory performs in cooperation with other agencies, and also certain statistics concerning the Laboratory. Mr. ROONEY. We shall insert these pages and the chart at this point in the record. (The pages and chart referred to follow:) SCIENTIFIC EXAMINATIONS The volume of work received continued to expand during the fiscal year 1964 with the Laboratory performing a total of 257,060 scientific examinations, a new alltime peak. The upward trend is expected to continue. The applications of science by the Laboratory have grown to the point where it now has an active part in practically every major program which we undertake,, The fact that the Laboratory received some 3,682 items of physical evidence in the investigation growing out of the assassination of President Kennedy indicates the major role which it played in this matter. In addition to these technical aspects, the Laboratory personnel handled the preparation of over 22,000 photo- graphs in connection with this investigation. COOPERATION WITH OTHER AGENCIES Science is one of law enforcement's most potent weapons and the FBI Labora. tory as a service agency makes its outstanding services available to law enforce. ment at all levels throughout the United States. No charge is made for such services, including the availability of its experts to testify in court as to their findings. This cooperative assistance is of great benefit to these other agencies in their fight on crime. For example, between January and December 1963, the Greens- boro, N.C., Police Department had 11 unsolved safe burglaries. On December 14, 1963, two subjects were apprehended inside a building in the process of at- tempting to enter a safe. Clothing and tools from the subjects, their residences and automobile, together with the safe insulation and paints from the 12 burglar- ized safes, were sent to the FBI Laboratory. Through scientific examination, a total of nine of the safe burglaries were connected to the subjects. In March 1964, the subjects were tried in local court and found. guilty of the burglary of the. safe where they were caught. They also pleaded guilty to numerous other safe burglaries and are now serving long terms in the North Carolina State Prison. Appro pVIFa~~r ~ / /v~ eCJ -- 70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 300 Breakdown showing for whom scientific examinations made (fiscal year 196,0 FBI --------------------------- -------------------------------------------- 183, 559 8tates, foreign countries, territorial possessions...... .------------------------ 62,691 Othet Federal agencies------------------------------------------------------ 10,810 ,Scientific examinations handled --Trend, 1960-66 fiscal years 1'oluma I Increase over 1960 1969 actual---.... .. _- -.----- ---------- 210, 745 1961 actual ..... - ------------- ------- 224,183 13,438 .. 1962 actual---------- ---------------------- 231,4M 20,711 ------------ 1963 actual ...-.... - --------------------- 247,894 37,1,9 .. 1964 actual ----- --------------------- 257,060 46,315 ------------ ------ 1965 revised estimate--------------- ------ 259,000 48,255 1, 940 1906 estimate-_._-....._---------------- 259, 000 48,255 1,940 FBI LABORATORY EXAMINATIONS MADE FOR NON-FEDERAL LAW ENFORCEMENT AGENCIES FISCAL YEAR 1964 MZr. IloovER. This chart shows the wide geographical distribution of the thousands of examinations made by the FBI Laboratory for non-Federal law enforcement agencies during the fiscal year 1964. Throughout the entire country the work of our laboratory experts is being utilized without an - cost whatsoever to the local authorities. They will send in guns, blood, and other items of physical evidence and when a local trial is held our experts will testify at no cost to the local authorities. I might say this service does create an excellent relationship between local authorities and ourselves because they receive a cost-free service and we get assistance from them in bank robberies and other violations which we have to handle. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 301 Turning to the training and inspection activities of the Bureau, over the years the FBI has seen its work and responsibilities multiply. In fact, the work of the entire law enforcement profession has mounted to higher and higher peaks since the end of World War H. The ex- panding work, the new responsibilities, and the changing tactics of the criminal and the subversive present a continuing investigative challenge and have long underscored the necessity of a continuing program of training in the FBI. It serves to keep our investigative and administrative operations effective and enhances the cooperative ,efforts of the law enforcement profession. It is one of the important factors contributing to the high performance standards of FBI personnel. A responsibility, closely allied with training is inspection work. it is vital to any organization. A continuing inspection program hag ,,been a part of the FBI's operations since its inception and has con- tributed immensely to the greater efficiency of our entire organization. Each office is inspected at least once a year and the inspectors operate directly out of my office in Washington and report back directly to .me. It enables us to keep our investigative practices efficient, to improve our administrative operations on a continuing basis, to reduce our operating costs, and to keep our productivity at a high level. LOCAL POLICE TRAINING SCHOOLS 'Mr. HOOVER. We, also conduct training schools for local law .enforcement officers, and I hand to the chairman a page which out- lines the work we have done in local police training schools. This work is.done without cost to the local authorities. Mr. ROONEY. We shall insert this page at this point in the record. (The page follows:) Local law enforcement is in the vanguard of the battle against lawlessness. The problems are great and with the mounting volume of crime it is vividly clear that only highly trained professional and dedicated officers can afford the citizens .the protection they expect from their police departments. We cooperate closely with other law enforcement agencies in the field of police `training. One phase of this being our participation, when requested, in the ;training programs offered by the local police departments. During 1964 we assisted in 4,163 such schools throughout the country, which were attended by 117,275 officers. Annual law enforcement conferences As another part of our police training, each year the Bureau holds a series of nationwide law enforcement conferences. These are a valuable aid in bringing 'about closer cooperation within the law enforcement profession. The 228 conferences held during the summer of 1964 were concerned with prob- lems about the far-ranging fleeing felon as well as a detailed discussion of the newly enacted Civil Rights Act of 1.964 and its relationship to law enforcement at all levels. The conferences were attended by 20,184 persons representing 6,406 agencies. FBI NATIONAL ACADEMY Mr. HOOVER, I should like to refer briefly to the work of our National Academy. We have 2 sessions a year attended -by 90 to 100 persons. About 80 come from the United States and the remain- der from foreign countries. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 302 I hand to the chairman a page of my testimony which gives details concerning the National Academy and an exhibit about riot survey and riot control training. I may say at the, suggestion of the President we have conducted several hundred schools for the training of local officers in riot and mob control. Last summer the President asked me to make a survey of a series of riots. Ir. RooNEY. According to the 10 o'clock news this morning I think they may need some kind of course such as this in Moscow. Mr. IloovER. Yes; I should think so. Mr. Roo-fry. We shall insert this page and exhibit at this point in the record. (The material follows;) FBI NATIONAL ACADEMY One of our important cooperative training efforts over the years in the. all-out battle to preserve law and order has been the FBI 'National Academy. Founded in 1935, the Academy has enabled selected, experienced, career law enforcement officers from agencies on all levels, both foreign and domestic, to receive valuable training. They, in turn, share the knowledge gained with the men of their deppartments. 1'lie graduation of the 74th session on October 21, 1964, brought the total num- ber of the Academy graduates to 4,640, including 92 law enforcement officers from a total of 28 different foreign countries. About 29 percent of the graduates now actively engaged in law enforcement occupy positions as the executive heads of their respective agencies. RIOT SURVEY AND RIOT CoNTaoL TnAINI iG An outbreak of mob violence in the form of riots occurred in seven cities and two beach resorts in the United States during the summer of 1964. In accordance with instructions of the President, a report concerning a survey of these riots was submitted by the FBI to the President on September 21, 1964. The survey of these riots, based on voluminous reports gathered by agents of the Bureau from public officials, police officers, clergymen, leaders of responsible organizations, and individuals considered to be reliable in each of the nine com- munities involved, disclosed that none of the nine occurrences was a "race riot" in the accepted meaning of the phrase. They were not riots of Negroes against whites or whites against Negroes and they were not a direct outgrowtl. of con- ventional civil rights protests. The common characteristic of the riots was the senseless attack on all constituted authority without purpose or object. Each of the seven major city riots with one exception was an escalation from a minor incident normal in character. In each incident there was firs- violent interference with policemen on the scene followed by the gathering of a crowd. Then, either because of exhortation of rabble rousers or further incidents caused by the disturbance, the crowd was increased by the arrival of youths looking, for excitement or violence or worse. As mob spirit swept through the crowd it became increasingly unruly, began stoning police officers and civilians and spread through the streets, destroying and looting. New York City is the only city where the initial event was not immediately followed by rioting. The shooting of it 15-year-old Negro boy armed with a knife by a lieutenant of the New York City Police Department on July 16, 1964, re- sulted in nationwide publicity and wild charges of police brutality. A full-scale grand jury, after 'hearing testimony from 45 witnesses, cleared the lieutenant. Despite the widespread publicity given to this case, it did not result in serious public disturbances for 2 clays, and only then under the leadership of various troublemakers described later herein. Mots started in Rochester, N.Y., on July 24, 1964, were sparked by the arrest of a young Negro who had been drinking heavily and caused a commotion at a street dance. Mots then occurred in Jersey City, N.J. August 2-4, 1964, when two policemen attempted to stop a fight between two Negro women at a housing project and at Elizabeth and Paterson, N.J., August 11, 1964, when police at- Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 303 tempted to disperse groups of disorderly Negro youths. A riot in Dixmoor, Ill., a suburban community outside Chicago, occurred on August 15, 1964, when a crowd of Negroes gathered to picket a liquor store whose owner had had a young Negro woman arrested for allegedly stealing a bottle of liquor from his store. Rioting broke out in Philadelphia, Pa., on August 28, 1964, when a Negro police officer made a routine investigation of a traffic tieup in a Negro section and arrested a Negro woman who refused to move her car and who resisted arrest. The riots at the beach resorts, Hampton Beach, N.IL, and Seaside, Oreg., over the Labor Day weekend involved groups made up predominantly of young whites ranging from youths in their late teens whose vacations were coming to an end, to toughs and other hoodlums in their middle twenties whose conduct indicated a purpose to make trouble and profit by it. ALLEGED ORGANIZATION OF RIOTS-SUBVERSIVE INFLUENCES A number of charges have been made that various organizations instigated the riots in one city or, another. These charges were carefully investigated. The evidence indicates that aside from the actions of minor organizations or irrespon- sible individuals, there was no systematic planning or organization of any of the city riots. Following several civil rights demonstrations which received widespread publicity throughout the country earlier in 1964, one widely publicized ex-convict, the late Malcolm X Little, in March 1964, announced a broadly based nationalist movement, the Muslim Mosque, Inc., for Negroes only. In this announcement, which was frequently repeated, Negroes were urged to abandon the doctrine of nonviolence and to organize rifle clubs "to protect their lives and. property." Shortly after the arrest in Philadelphia, Pa., on August 28, 1964, leading up to the riots there, a well-known Negro agitator, Abyssinia Hayes, a leader of a small splinter Black Nationalist group, got on the porch of a house and allegedly harangued the crowd urging them to violence against the police officers, charging that they had brutally abused the Negro woman arrested. Another group seeking to exploit Negro unrest was the Progressive Labor Movement (PLM), a Marxist-Leninist group following the more violent Chinese Communist line. One of its organizers, Milton Rosen, is a former secretary. of the New York State Communist Party, U.S.A. (CPUSA). Following the shooting in New York on July 16, the PLM under the leadership of this individual printed and had distributed thousands of copies of a handbill containing a photograph of the police lieutenant under the headline "Wanted for Murder." At the time the handbill; was;distribilted throughout the Harlem area a mass demonstration was announced'for July 25 to demand the arrest and prosecution of the lieutenant. Another officer of the PLM, William Epton, also a former member of the CPUSA who resigned from the party because it was not sufficiently revolutionary, organized a number of groups in the Harlem area in New York City early in the summer. These groups, offshoots of PLM, were to be prepared to exploit inci- dents and were alerted to that end. Two days after the shooting above referred to, this individual harangued a street meeting in New York City announcing there was going to be a demonstration, "not necessarily peaceful," that he and his followers "were going to kill cops and judges," that "no revolution can be won by peaceful means" and that this state must be smashed "totally and completely." Jesse Gray, a Negro who formerly was organizer of the Harlem region of the CPUSA, achieved widespread publicity early in 1964 through leadership of rent strikes. Three days after the shooting. on July 16, this individual issued a public call for "a hundred skilled black revolutionaries who are ready to die" to correct what he called "police brutality." Two individuals with histories of Communist affiliation, Clarence Coggins and Richard Sarjeant, while not starting the riots, capitalized on them in at least two of the cities in New Jersey and tried to continue them. Coggins is chairman of the Labor Negro Vanguard Conference, a local group in New Jersey with only a few members, organized in 1961 by Coggins who, along with other of its active members was expelled from the CPUSA in 1959, following a factional dispute. Neither Goggins nor Sarjeant appears to be more than a local and comparatively unimportant independent agitator. The CPUSA does not appear to have officially instigated these riots though its members were observed taking part in some and its former members are leaders of the PLM, the Labor Negro Vanguard Conference and other such groups. 46-866-65--20 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 304 MOT CONTROL TRAINING Following his study of the survey, the President, on September 26, 1964, among other things, directed the FBI through the FBI National Academy, to make riot control training available to all police departments in the United States, Ile instructed the Secretary of Defense to enlarge the program of the U.S. Army for demonstration techniques of riot control, to make these techniques a larger part of the training of the National Guard, and to make them available to local police forces. The FBI was instructed to take the lead and coordinate the program of offering this training to local law enforcement and to call upon the military when assistance is needed. Steps were immediately taken to get the training underway and by March 1, I965, the FBI had provided training assistance on riot and mob control planning and procedures to local law enforce- ment at 248 schools, attended by 9,473 law-enforcement personnel. Actually, riot control planning and training have been a part of the curriculum of the last several sessions of the National Academy; with the graduation of the 74th session on October 21, 1964, a total of 336 graduates have received such training. These graduates, in turn, pass on the benefits of their training to law- enforcement officers in their respective areas. Additionally, a corps of knowledgeable FBI instructors is available throughout the country to provide training in riot control planning and procedures, on a field level, at the thousands of police training schools conducted for local law enforce- ment under the FBPs field police training program. To further assist local law enforcement in this vital aspect of its work, the FBI prepared a training booklet, "Prevention and Control of Mobs and Idiots," for dissemination on a nationwide basis. Mr. HOOVER. I refer to the publication which we issue called "FBI Law Enforcement Bulletin." That is a monthly publication. It costs very little per copy to have it published. It contains not only technical articles on law enforcement as a profession, but it also serves as a means of distributing data concerning fugitives and missing persons. Another publication, originally initiated at the suggestion of the chairman of this committee some years ago, is called "The Story of the Federal Bureau of Investigation" It costs 3 cents a copy to prepare and is in great demand by students and others who want to know what the Bureau is and does. I submit to the chairman an exhibit which deals with national crime trends. There has been a marked increase since 1958. Crime in the United States since then has increased five times faster than the Nation's population and it is continuing to go up. Although there were an estimated 2,259,100 serious crimes committed during the calendar year 1963, representing a 10-percent increase over 1962, preliminary data for 1964 discloses significant increases in all crime classifica.tions. In 196.1 there was a 13-percent increase in serious crime over 1963. Murder increased 9 percent, forcible rape 19 percent, robbery 12 percent, aggravated assault 18 percent, burglary 12 percent, serious larceny 13 percent and auto theft rose 16 percent. Mr. RooNEY. The exhibit with regard to crime trends in the United Stites will be inserted at this point in the record. (The exhibit follows:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 305 . CRIME TREND IN THE UNITED STATES PERCENT CHANGE CALENDAR YEAR 1964 OVER CALENDAR YEAR 1963 ER MURDER FORCIBLE RAPE ROBBERY AGGRAVATED ASSAULT. BURGLARY LARCENY $50 AND OVER AUTO THEFT 13% 19% 12% 18% Mr. Bow. Mr. Chairman. Mr. ROONEY.. Mr. Bow. t, Mr. Bow. How does this compare with other leading nations of the world? Mr. HoovER. I would say the upward trend of crime, is almost universal. Mr. Bow. These increases are similar in other major countries? Mr. HoovER. I would not say they are similar but I do know that crime is on the increase in Great Britain, Western Europe, Canada, Australia, and India. All of the industrial countries have a very serious juvenile crime problem. I also notice from the press they have had serious crime problems in Moscow and throughout the Soviet Union. There is not as much of a juvenile crime problem in some oriental areas, like Japan. Crime has increased somewhat over the last several years in some oriental countries but the respect for the family, for the father, for a background of respectability, is strong with the Orientals. It is evident in this country in California, where you find proportionately fewer of the Orientals getting into serious difl'i.- culty as a result of the control and discipline in the homes. This trend may change as the younger generation becomes exposed to those influences which weaken this strong family control; for in- stance, the rioting and picketing recently at the University of Cali- fornia at Berkeley demonstrated disrespect for authority. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 306 MARIO SAYIO Mr. ROONEY, What is the background of the chap who went out there from New York City and led that riot? Ir. IIOOVER. Mario Savio? Mr. ROONEY Yes. MNlr. IIOOVER. Savio was born December 8, 1942, at. New York City, N.Y. YHe attended Manhattan College in New York Cit F until 1963 when lie enrolled at the University of California at Berkeley. San Francisco Police Department records show Savio was arrested March 8, 1964, during the Palo Hotel "sit-in" demonstration in San Francisco and was subsequently acquitted on a charge of disturbing the peace on May 12, 1964, At a hearing in municipal court, Berkeley, Calif., for some of the defendants-of the Free Speech Movement, each defendant was given an opportunity to ask questions regarding a motion to waive jury trial. Mario Savio was asked by the judge if he understood what was meant by waiving of trial by jury. Savio answered, "I understand fully the shameless h pocrisy to which this court has been reduced." The judge asked Savio to repeat this statement which he did more loudly and clearly. The judge held Savio in contempt of court and sentenced him to 2 days in jail, effective immediately. The defense attorneys requested postponement of the execution of sentence and the judge agreed that Savlo would serve 2 days in jail beginning 9 a.m. March 4, 1965. (Discussion off the record.) YOUTIIF'UL CRIMINALITY Mr. HoovER. I hand to the chairman a page from my text which deals with youthful criminality. Mr. ROONEY. We shall insert that page at this point in the record. (The page follows:) For the country as a whole in 1963, persons under 18 years of age comprised 17 percent of all police arrests for criminal acts. However, for the serious offenses of criminal homicide, forcible rape, robbery, aggravated assault, burglary, Ifrceny and auto theft, these young persons were represented in 46 percent of the arrests nationally. Police arrests of these young people for these crimes in the past 6 years have been increasing twice as fast as their population growth. Preliminary arrest figures for 1964 indicate a 13-percent rise in juvenile arrests over those in 1963. While these statistics indicate our young people contribute a disproportionate share to crime picture, arrest rates show that better than 95 percent of our young people do not become involved. Mr. HoovER. There is a great trend in the country today to ease up on sentencing, the length of sentences, and on the releasing of criminals without basic statistics upon which one can draw as to whether they will be repeaters. If they are likely to be repeaters and cannot be reformed, they should not be released to prey on the public. I have often said there is too much concern on the part of our Federal, State, and local courts for the rights of the individual charged with a crime. I think he is entitled to his civil rights, but I think the citizens of this country ought to be able to walk all of the streets of our cities without being mugged, raped, or robbed. You cannot walk the streets of New fork with safety, you cannot do it in Wash- Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 307 Ington, D.C. and you cannot do it in Chicago. All through the country almost without exception that condition prevails. The rights of the law-abiding. citizens are not being given sufficient consideration. In my opinion the courts in some instances have been entirely too lenient in the sentences imposed. Some parole boards have very loosely used their parole power. In some cases corruption has been involved. Some parole officers have been in the pay of Cosa Nostra. (Discussion off the record.) Mr. ROONEY. Mr. Director, since you mentioned the Cosa Nostra, this week we had testimony here that it cost the United States about '$3,000 a month to keep a man named Valachi in custody and well fed. What do you think of the contributions, if any, that he made which allegedly might justify the expenditure of that kind of money? Mr. HoovER. I know of only one concrete contribution he made. Mr. ROONEY. What was that? Mr. HoovER. Following Valachi's testimony before the Congress, the was made available to New York State authorities and testified :before a grand.jury in Queens County, New York City, concerning .the racketeering murders of Anthony "Little. Augie" Carfano and Carfano's mistress which took place on September 25, 1959, in Queens County, New York City. No indictments 'were returned. He has furnished considerable information of value concerning Cosa Nostra. I was not in favor of the release of Valachi's testimony because I felt if there was any merit to what he had to say it ought to be run down and tried in court. My feeling in approaching the criminal problem has been not to do any talking of what you will do or what you have until you can make an arrest. (Discussion off the record.) CRIME HIGHLIGHTS Mr. HOOVER. I submit to the chairman an exhibit which sets -f orth the highlights of crime. Mr. ROONEY. We shall insert this exhibit at this point in the record. (The exhibit follows:) Crimes against property-robbery, burglary, larceny $50 and over in value and :auto theft-are the offenses with the highest frequency and constituted 92 per- cent of the serious crimes committed in the United States in 1963. They in- -creased 11 percent in volume over 1962. Crimes against the person-murder and nonnegligent manslaughter, forcible rape, and aggravated assault-rose 5 percent in volume over 1962. On the average a murder, forcible rape, robbery, .aggravated assault, burglary, serious larceny, or automobile theft occurs every 15 seconds in the United States. Burglary Among the serious crimes, burglary is the one which is most frequently com- ~mitted and accounted for 44 percent of the serious offenses in 1963. The esti- mated 975,900 burglaries involved a loss of more than $205 million. Larceny Losses from all larceny offenses totaled about $182 million in 1963, This does not include many other larcenies, particularly those of small value, which were not reported to the police. All types of larceny increased during 1963 with the exception of pocket picking which dropped 11 percent. Purse snatching and shoplifting rose 13 percent followed by thefts from automobiles up 11 percent and thefts of automobile ac- cessories which were up 8 percent. Thefts from automobiles and thefts of auto- mobile accessories accounted for 40 percent of all larcenies. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 308 Robbery Robbery is a particularly vicious-type offense in that force or real threat of force is used to deprive the victim of money or property and in many instances bodily injury occurs. In 1963 there were over 100,000 such crimes, a 5-percent increase over 1962. Based on a recent study, armed robbery constituted 59 percent of all robberies while the remaining 41 rcent were of the strong-arm type. Robbery is primarily a big-city offense when measured by the frequency with which it occurs in those areas. Auto theft Over 399,000 autos were stolen during 1963, an increase of 11 percent over 1962. This is an average of one theft every minute and the value of autos stolen during 1963 exceeded $369 million. Since 1958 auto theft has increased 39 percent. Ninety-one percent of the stolen cars were recovered; however, the remaining 9 percent represented a net loss of more than $.33 million. The highest arrest rate was for persons 15 to 19 years of age. Offenders under the age of 18 accoupted for 63 percent of all auto theft arrests while persons under the age of 25 were responsible for 88 percent of the total arrests. Our studies of the auto theft problem indicate that slightly more than 4 out of every 10 cars stolen have the key in the ignition or the ignition is unlocked. About 25 percent of the cars are stolen for use in another crime, resale, or for the purpose of stripping them for parts. The remaining 75 percent are taken for trans- portation reasons. Two-thirds of all auto thefts occur at night and over one-half of these automobiles are stolen from private residences, apartments, or streets in residential areas. Local law enforcement agencies covering the area of the theft recover about 64 percent of all cars stolen uithin 48 hours; however, an average of 20 percent of all cars stolen are recovered by police departments outside the jurisdiction where the theft occurs. In some of the large metropolitan areas over 50 percent of the automobiles stolen are recovered in another jurisdiction. The recovery information clearly indicates the mobility factor involved in auto theft. Murder and aggravated assault Crimes of passion, especially aggravated assault and murder, primarily result from human and social problems. A study made in 1963 of 8,500 willful killings revealed that 31 percent occurred within a family unit and 51 percent resulted from altercations outside the family but usually among acquaintances. Twelve percent, or approximately 1,100, could be identified as felony murder; that is, the victim was killed by a robber, sex offender, or other felon. The remainder of these murders occurred under such circumstances that a specific motive was not determined at Cie time the information was reported. Victims of murder were almost three to one male and 49 percent of the victims in 1963 were between 20 and 40 years of age. During 1963 the police cleared up 91 percent of the murders by arrest of the offender. Police officers killed The felonious killing of police officers and assaults on police acting in the line of duty continue to be serious problems. Detailed information collected on police deaths reveals 168 law enforcement officers have been murdered by criminals during the 4-year period 1tiGO through 1963. These murders reached a new high in 1963 when 55 local, county, and Mate police officers were brutally stain. Also, to be taken into account were the accidental deaths in the line of duty of an additional 33 officers. Twenty-six percent of the murdered officers were killed while making arrests and transporting prisoners, and 25 percent by armed robbers during the commission of their crime, or who were intercepted by police as they fled the scene. Twenty-one percent of the officers were murdered upon responding to disturbance-type calls and 13 percent b burglars when they interrupted burglaries in progress or in the pursuit of burglary suspects. Eleven percent were killed while investigating suspicious persons or circumstances and the remaining 4 percent were killed by berserk or deranged persons. The criminal histories of the 219 persons involved in the 163 murders disclose that 79 percent bad prior arrests, 73 percent had been convicted of some crime, 53 percent had received prior leniency, and 36 percent were on parole or probation when they became involved in the police killing. Eleven of the persons arrested for these crimes were under 18 and 41 percent were tinder 25 years of age. Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 309 Mr.. HOOVER. I hand to the chairman an exhibit which deals with the matter of firearms and the need of some control. Mr. ROONEY. We shall insert this exhibit at this point in the record. (The exhibit follows:) The easy accessibility of firearms is a significant factor in murders committed throughout this country. There is no doubt that better control of firearms is a most desirable objective in correcting this situation, As I have pointed out in the past, the problem of controlling firearms has many ramifications and is so complex that it must start with proper State legislation, properly enforced. The present Federal law on the licensing and registration of firearms is within the jurisdiction of the Department of the Treasury. It would be unwise, and perhaps futile, for the Federal Government to attempt singlehandedly to achieve effective control over all firearms, This is not to say that Federal legislation is unnecessary or undesirable. A Federal statute could strongly supplement and buttress State legislation and State action on firearms control and would seem to be of value and assistance in at least those States which do set up and administer a strong program of their own, A study of the 8;500 willful killings reported by the police during the calendar year 1963 points up the problem regarding the easy accessibility of firearms. A firearm was used in 56 percent of. these willful killings and the use of a firearm as a weapon was up 4 percent over 1962. In 1963, firearms accounted for 53 percent of the murders in American cities, 62 percent in the suburban area, and 68 percent in the rural area. During the same year, there were almost 60,000 armed robberies and over 22,000 aggravated assaults with a firearm. The lethal nature of a gun is clearly apparent when the assaults by this type of weapon are examined, This study shows that a, gun proves to be seven times more deadly than all other weapons combined. Information collected as to 168 law enforcement officers murdered by criminals during the 4-year period 1960 through 1963 shows that firearms predominated as the weapon used to commit these murders. Handguns such as revolvers and. automatic pistols were used in 131 instances, shotguns and rifles in 31, while the remainder were by other weapons. These statistics grimly spotlight the problem involved in the easy accessibility of firearms and its influence on willful killings. Surely the public has a right to expect that both the distributor and purchaser of deadly weapons meet certain regulations and qualifications, STATISTICAL PROGRAM ON CRIMINAL CAREERS Mr. HoovER. I present to the chairman two pages of my testimony for insertion in the record, dealing with the preliminary analysis of the new statistical study that we are making, which will probably begin to show hard facts within the course of the next year or year and a half. Mr. ROONEY., We shall insert those pages at this point in the record. (The pages follow:) In January 1963, the FBI initiated a statistical program in an effort to measure the recidivism, mobility, and eventually the success or failure of specific court action and correctional treatment. The cooperative exchange of criminal finger- print identification data among local, State, and Federal law enforcement agencies makes such a research program on known offenders possible. This program will enable us to obtain additional practical knowledge of these chronic offenders who annually contribute to our mounting crime counts. This program offers a positive means of identification through the submission of fingerprint cards and as a result the criminal history of the offender becomes known. It is limited to the degree, of course, that the offender is detected, arrested, charged, and fingerprint cards submitted. The arrest record of each person coming within the purview of Federal law during 1963 has been coded and stored in automatic data-processing equipment. The fingerprint files of these offenders which have been coded into the program.. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 310 have been flagged so that whenever they are arrested in the future we will incor- porate the new data into the program. Some preliminary analyses of this new information disclose that 75 percent of these offenders had two or more arrests and 25 percent a single charge. Only 7 percent were female. By race 73 percent were white, 25 percent Negro, and 2 percent other races. In reviewing the records of those who had two or more arrests, it was determined that the average criminal career (span of years from first to latest arrest) was 10 years, during which period the average offender had been arrested four tines. According to their criminal histories, 52 percent of these offenders had received leniency during their criminal careers in the form of probation, parole, conditional release, or suspended sentence. Of these, 08 percent received leniency on one occasion, 20 percent twice, and 12 percent three or more times. As a group, these offenders averaged three new arrests after the first leniency action and their career criminal records averaged 12 years and six arrests. This statistical program is still in the development stage. After an accumula- tion of 3 to 5 years, it is expected we will be able to provide a measure of the success of court parole and probation actions. PAROLE, PROBATION AND CLEMENCY ABUSES Mr. lloov ER. I submit for insertion in the record a page which deals with parole, probation, and clemency abuses. I want to quote from the late New York City Judge, Alfred J. Talley, of the court of general sessions, Mr. RoortEY. He was a friend of mine who has been dead for many years. Mr. HOOVER. Yes, but this was back in 1924 when he said it, and it is more pertinent today than when he said it: The demand of the hour in America is for jurors with conscience, judges with courage, and prisons which are neither country clubs or health resorts. It is not the criminals, actual or potential, that need a neuropathic hospital it is the people who slobber over them in an effort - to find excuses for their crime. Mr. ROONEY. I knew Judge Talley very well. We might give you Uncle Joe Cannon, who said: I'm thankful the sun and moon Are both hung up so high, That no pretentious hand could stretch And pull them from the sky; For if they were not, I have no doubt but some reforming ass Would recommend to take them down, And light the world with gas. Mr. HoovER. Very good. Mr. ROONEY. We shall insert this page at this point in the record. (The page follows:) Rehabilitation of criminals is, of course, a most worthy policy and should be energetically supported so long as it is properly administered and carefully super- vised to achieve the desired goal. It should not, however, be perverted to mock the humanitarian principles it seeks to serve. Certainly the rights of law-abiding citizens deserve as much consideration as the rights of convicted criminals and when it becomes a question of deciding between lenient. treatment of repeating offenders and the surety of the public, fair play alone demands protection of the public. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 311 Mr. HoovER. I hand to the chairman a statement showing ex- amples of leniency to continuing offenders. These cases emphasize the real basis for concern by alarmed citizens who feel that the pub- lic's interests deserve at least as much consideration as is given to reapeating criminal offenders. Mr. RooNEY. We shall insert this statement at this point in the record. (The statement follows:) A story all too familiar to alarmed citizens throughout the country made head- lines in Washington, D.C., on January 24, 1964, when two District of Columbia police officers were gunned down by two armed robbers. One officer was shot six times and died shortly thereafter. The second policeman was shot once and clubbed over the head by one of the gunmen. One of the bandits was wounded and both were quickly captured. Despite long criminal records, including con- victions for armed robbery, both of these gunmen were free on parole when the holdup-murder occurred. Both gunmen were subsequently found guilty of first degree murder, two counts of robbery, assault on a police officer, and carrying a gun. The jury recommended that both be sentenced to life imprisonment. Another case of considerable public interest has caused residents of the Nation's Capital to ponder the perils of injudicious leniency. In August 1964, citizens of Washington, D.C., congratulated a courageous young Capitol Hill secretary when she singlehandedly captured a man attempting to burglarize her apartment dur- ing early morning hours. The congressional secretary awoke when she heard noises caused by the stealthy intruder, grabbed a .22-caliber target pistol she had obtained for just such eventualities and fired one shot at the housebreaker, thereby detaining him until police arrived. In view of the 17-year-old burglar's prior juvenile record, jurisdiction was waived by juvenile court and the subject was scheduled to be tried as an adult. This prompted a Senator to comment on the floor of the Senate that he was "sure it will be some time before this young man tries to enter any apartment or any other dwelling in this city, or any other city." however, the burglar was released on $5,000 bond. Many members of the public were, thereafter, quite amazed to read in their newspapers that. this same individual had been arrested by the Metropolitan Police Department in Washington, D.C., on September 20, for an almost identical offense. Another young woman had been aroused from sleep by noises of aburglar who immediately fled when detected. The subject, however, was seized by police officers less than an hour later and loot from the burglarized apartment was reportedly recovered from him. One more shocking case bears mentioning. In. September 1962, Anthony Spencer, then 15 years old, was released from a State school for mental defectives in New York after spending time in the institution for setting fire to a couch in his home. He had also been arrested previously as a juvenile for two alleged sex assaults. In June of 1964, Spencer was arrested for the rape of a 16-year-old girl at knifepoint. Despite Spencer's past record for sexual assault and arson, he was released on $500 bail. Two months later, while free on bail, Spencer admittedly followed a 22-year-old mother into the elevator of her Bronx apartment building where he raped her in the presence of her 2-year-old son. Spencer reportedly threatened the woman by saying he would cut her son "into pieces" if she resisted. On September 8, 1964, while still free on bail, he allegedly followed an 81-year-old widow into her Bronx apartment where he strangled and raped her. A few days later, his 22-year- old rape victim spotted him on the street and alerted police who took him into custody. Following his arrest, Spencer reportedly admitted the rape-slayings of two women and a number of other rapes throughout New York City. The New York Journal-American, on September 23, 1964, in an editorial entitled "Justice Abused," terms the treatment of Spencer "turnstile justice." "We believe," the article states, "it's time that the public was told just why so many young criminals and terrorists are passed through this turnstile and sent back to the streets to kill, rape, rob, and assault the innocent," Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 312 FIELD OPERATIONS Mr. IIoovER. Turning to our field operations I hand to the com- mittee a chart showing the organization of the FBI and the location of our 56 field offices. They are located throughout the United States and in Puerto Rico. A new office was recently opened at Jackson, Miss. We have in foreign countries eleven liaison posts for quick communication with their opposite number. Mr. ROONEY. We shall insert this chart at this point in the record. (The chart follows:) ORGANIZATION OF THE FBI SEAT OF GOVERNMENT AND 56 FIELD OFFICES "s 11: I I111!1~:'H?11LI N I++14117 I9111f 11.,71111 I 'unrH7 I I l( I I I iftL I I 'J71?7T I I SNtlJX 17xxllia1 1211WHI t( 4100% af - IriU?+7s14t I M41(( 10 CHARLD11C 19 HOUSTON 31 LCN.ISVILLE 37 NEW YORK 47 SALT LADE CITY 3 A1bUfYJERQUE II CHICAGO 90 INDIANAPOLIS 29 MEYFiRS 31 NORFOLK 4t M. ANTORiO 3 .1+CHORAG1 12 CINCINNATI 31 JACKSON 30 MIAVI 39 OKLAHOMA CITY 49 SAN DIEGO 4 AILANTA 13 CLEVELAND 73 JACKSONVILLE 31 Mi.WALKfEC 40 OMAHA S9 SA:4 FRANCISCO 5 641 WORE 14 DALLAS 03 KANSAS CITY 33 MINNEAPOLIS 4% PHILADEtPHU 31 SAN JUAN 6 BIAMINGHAM IS DENVER 36 KNOXVILLE 33 MOBILE 43 PHOENIX 53 SAVANNAH. 7 Bf;5101; IA DETROIT 3S LASYECJ$ 34 NEWARK 43 PITTSBURGH 33 SEATTLE 8 BUItAJ; I7 EL PASO 36 11TTLE ROCK 35 NEW HAVEN 64 PORTLAND SA SPt GT LEO q P:;; IL It HONOLULU 37 LIDS ANGELES 36 NEW ORLEANS AS RICHMOND 55 TAMPA 46 `J. LOUIS 56 WAS,-?6;(N D C. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 313 FBI FOREIGN LIAISON OPERATIONS FBI FOREIGN LIAISON OPERATIONS Mr. HoovER. I submit to the committee a chart showing the location of our liaison posts abroad. Mr. ROONEY. We shall insert this chart at this point in the record. .(The chart follows:) NUMBER OF FBI REPRESENT- ATIVES STATIONED ABROAD EXCLUSIVE OF CLERICAL PERSONNEL( BERN BONN BUENOS AIRES LONDON MANILA MEXICO CITY OTTAWA PARIS RIQ DE JANEIRO ROME TOKYO The FBI maintains liaison posts abroad in I I Countries. These offices unction in a liaison capacity in connection with criminal and security matters involving the Bureau's domestic responsibilities. In addition, the Bureau belongs to one international security committee and corresponds with police agencies all over the world except in countries controlled by the Communists; In addition to the, actlvites of its representatives abroad, the Bureau exchanges certain types at information with, and where warranted, arranges to have Investigations condueled in the U. S. far, law enlorcemenl and intelligence agencies in many other lore Igo countries on a reciprocal basis. ~ h /, 7vuclrw nlrtca CH .* 401 AEPAESINIAIIVIS 11Al10NID IN . CUNIAIIi WITS VONIC H r: i11 u Hy AMERICAN EM I AS S I IS 00111111.1 COSMOS INYEEIIGPTIVE INTDRMAIION UNITED SIAIM INCREASE IN FIELD INVESTIGATIVE WORK Mr. HOOVER. The growing volume of our field investigative work is, reflected in the 666,982 investigative matters received during 1964 in the overall criminal, civil, and security field. This is an increase of, 130,611 matters . over the heavy volume experienced during the prior year. I hand to the committee a. chart which shows in graphic form the :sharp rise in our investigative work since 1960. Mr, ROONEY. We shall insert this chart atthis point tin the record, (The chart follows;) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 314 INVESTIGATIVE MATTERS RECEIVED EXCLUSIVE OF REIMBURSABLE APPLICANT WORK TREND 1960 -1966 666,962 690,, 637,090 0 700,300 1960 1962 1964 1965 1966 ACTUAL ACTUAL ACTUAL ESTIMATED ESTIMATED 1?Ir. IioovER. Our mounting ending workload i3 another indica- tion of the Bureau's increasing mvesti-ative problems. As of Feb- ruary 1, 1965, a total of 126,596 investigative matters were pending with 6 percent in a delinquent status. That does not appear to be a large percentage, but consider the types of crimes that we have to handle immediately and cannot wait 30 or 60 days to invest' ate. This is true in bank robbery and civil rights cases. If a bank rob cry occurs in the morning we cannot wait until evening to find out who did it, A 6-percent cTdlinquency is critical and should not be allowed to go any higher. The pending volumes during the last several months have reached peaks not witnessed since the time of the Korean crisis in the. early 1950's. The average assignment in the field now stands at 23 matters. On January 1, 1964, the average was 22 matters. At the same time in 1960 it was 17. In addition to being an indicator of a growing volume of work, this shows the efforts we have made to absorb a steadily increasing amount of work. I hand to the chairman for insertion the text of my testimony which deals with the Communist Party of the United States and its foreign allegiance to the Soviet Union, Mr. Ro0NEY. We shall insert these pages at this point in the record. (The pages follow:) It would be difficult to single out any period since the passage of the Internal Security Act of 1950 in which the optimism of the communist Party, U.S.A. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 315 surpassed that exhibited in 1964. The most important reasons for this optimism were the December 17, 1963, decision of the US. Court of Appeals for the District of Columbia reversing the conviction of the party for failing to register under the provisions of the Internal Security At of 1950 and the subsequent refusal of the U.S. Supreme Court on June 8,`1964,. to review that decision. Following another ruling of the" U.S. Supreme Court on June 22, 1964, which declared unconstitutional the passport provisions of the Internal Security Act of 1950, various leaders of the Communist Party in this country promptly an- nounced their plans to travel to the Soviet Union. Since June 1964, several members of the party's national committee, as well as numerous rank and file party members, have obtained passports and have engaged in foreign travel. As you might imagine, most of them headed for the Soviet Union. Several members of the national committee were in attendance, as delegates from the Communist Party, U.S.A., at the celebration of the 47th anniversary of the Russian revolution in Moscow in November 1964. In December 1964, another national leader of the party attended the Congress of the Communist Party of India in that country. Foreign allegiance We must never lose sight of the fact that the optimistic Communist Party in the United States is an organization which is under the firm control and guidance of the Soviet Union. It owes allegiance only to the Soviet Union and has served directly, and willingly as an tidjupci; to. Soviet policy. This is the only conclusion possible from any objective review of the history of the Communist Party, U.S.A. Since 1919, when it was organized, the Communist Party, U.S.A. has formu- lated its policies and altered its tactics either on the basis of specific Soviet instructions or as the result of an almost conditioned response in defense of the Soviet Union-the party's only reason for existence. The Communist Party, U.S.A., in line with instructions from the Soviets, has made every effort to obstruct all measures which our Nation has taken to defend itself and to strengthen our allies against the threat of further Communist expan- sion. The party has opposed practically all military, economic and political agreements which we have made with other non-Communist nations throughout the world. At the same time, the party has defended such aggressive Communist actions as- the'Com miuist'takeover in China' and the 'European satellite nations and the brutal suppression of the uprisings in East Germany and Hungary. In the Communist Party, U.S.A. the Soviets possess the unique advantage of commanding their own forces behind the lines of the declared enemy and of having the enemy accord such forces the status of legal participants in the quest for political power-even though many of the activities of the Communist Party, U.S.A. are essentially treasonable. To put it bluntly, the Communist Party, U.S.A. looks upon our Government as its enemy which it seeks to overthrow- by forceful means, if necessary. The central, committee of the Communist Party of the Soviet Union in a public declaration on October 15, 1964, announced that Leonid I. Brezhnev had been made First Secretary of the Soviet Party and Aleksey N. Kosygin had been designated Chairman of the Council of Ministers as a result of a decree of the Presidium of the Supreme Soviet. This action resulted in the complete removal. from power of Nikita S. Khrushchev. The leadership .of the Communist Party, U.S.A., although confused and em- barrassed , by this sudden turn of events, blindly continued its unswerving allegiance to the Soviet Union by publicly expressing its complete agreement with the change of regime in the Soviet Union, Actually, these new Soviet leaders have long been in positions of power in the Soviet Communist Party as shown by these charts. STEPPED-UP PARTY PROGRAMS Mr.' IToovii~. I hand to the chairman the text of my testimony which deals with the stepped-up party programs. Mr. ROONEY. We shall insert this part of your statement at this point in the record. (The pages follow:) The Communist Party in this country in 1964 greatly stepped up its programs designed to increase its membership through the recruitment of youth; to place party leaders on college campuses; to increase the dissemination of its propaganda; Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 316 and to create the false impression that it is a legitimate political party by announcing its intention to enter candidates in State and local elections. All of these activities are carefully designed to inculcate as a part of the normal environment a high regard for the Soviet society and contempt and hatred for the democratic principles of our own social and political organization. At a meeting in February 1965, of leading party functionaries, party leader Gus Hall stated that the Communist Party, U.S.A. is feared more than any other group because of its strategy and tactics. He remarked that the main tactical emphasis u'itil November 3, 196.1, was the defeat of the ultraright; however, the party has now shifted its emphasis to exerting mass pressure to change the course of the Johnson administration. A party functionary spoke glowingly of the possibilities of doubling party membership in the California area next year, especially in the youth field. He said that the People's World, west coast Communist newspaper, has increased its circulation by at least a thousand new youthful subscribers, Mr. HOOVER. I also hand to the chairman pages which deal in detail with the more open party activity, the emphasis on recruitment of youth, and the formation of a new youth organization (the W. E. B. DuBois Clubs of America) and public appearances by party leaders. (Discussion off the record.) Mr. ROONEY. We shall insert this part of your statement at this point in the record. (The pages follow:) MORE OPEN PARTY ACTIVITY In the belief that the "climate" in the United States is changing rapidly in its favor, the Communist Party U.S.A. is beginning to open the veil of secrecy that has surrounded it since June, 1961, when the U.S. Supreme Court upheld the order of the Subversive Activities Control Board that the party must register undrr the provisions of the Internal Security Act of 1950. Among other things, the party's national committee met in July 1964, for the first time since 1961. Also, a new party program is currently in preparation and party leader Gus Hall has indicatedthat a national convention of the party will be held in December 1965. EMPHASIS ON RECRUITMENT OF YOUTH "Give me a child for 8 years and it will be a Bolshevist forever." These words are attributed to the prophet of world communism, Nikolai Lenin, in a ch made in 1923. Now as a voice from the grave, the Communist Party, U.S.A., a dedicated group of latter-day disciples of Lenin, acts with a detcrminea program to recruit youth into the Communist conspiracy. Regarding our youth as a formless but pliable mass which can be shaped or molded, the Communist Party, U.S.A. has made clear its purpose and interests. The language jargon utilized is directed toward a single aim-the inculcation in young minds of a perverted theological faith in the ideals and objectifies of a Communist society. The Communist Party, U.S.A. plans to launch a recruiting drive to last from April 1, 1965, through July 1965. Emphasis will be directed toward the recruit- ment of Negro youth. The party also plans to hold a training school for youth in New York City in the summer of 1965 to give intensive Marxist-Leninist orientation to at least one youth from each party district. Some of these youths will then be sent to other areas to train additional youths. In addition, certain Communist Parcy, U.S.A. youths will be asked to go to the South during the summer of 1965 to work with civil rights organizations. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 317 FORMATION OF NEW YOUTH ORGANIZATION Ever since the demise in 1957 of the Labor Youth League, the former youth organization dominated and controlled by the Communist Party, U.S.A., the establishment of another nationwide youth organization has been a goal of the party. A positive step was taken in this direction in late 1963 when Gus Hall ordered the formation of a Marxist-oriented youth organization to attract non- Communists as the first step toward their eventual recruitment into the party. The founding convention of this new youth organization was held June 19-21, 1964, in San Francisco, Calif. The name selected for the new organization was the W. E. B. DuBois Clubs of America, in honor of the late Dr. William E. B. DuBois, a prominent crusader for civil rights who, at the age of 93, joined the Communist Party, U.S.A. In memorializing the late Dr. DuBois, the new organization apparently hopes to win recognition and support from both domestic and international civil rights pro- ponents, African nationalists, and more particularly the Negro youth of the United States, Following the trend of recent years of playing down the Communist label, the new Marxist youth organization is designed to attract youth interested in peace, disarmament, civil rights, and the like. PUBLIC APPEARANCES BY PARTY LEADERS The increased number of public appearances by leaders of the Communist Party, U.S.A. in the last few years, whether it be in the form of press conferences, on radio programs, or on college campuses, is utilized in an effort to project the image that the party is a legitimate political party; to gain increased acceptance and respectability for the party; to generate an atmosphere of good will and understanding; and to spread Communist propaganda. Since students constitute a primary Communist target group, party leaders in their public appearances continue to concentrate on college and university campuses throughout the country. Over the past 3 school years, party spokes- men have averaged 50 campus appearances each year. Their audiences ranged in size from an intimate 13 to a huge 4,000. The latter number heard Dorothy Healey, a member of the party's national committee, when she spoke in the sta- dium of the California State College at Los Angeles, Calif., on May 20, 1964. Audiences from 500 to 800 were common. While almost all of the public appearances of party functionaries before students took place at colleges and universities, several speeches were made at secondary educational institutions. That some success is achieved by the party in the many appearances of its leaders on college campuses is indicated by the fact that party youth clubs have been established recently at the University of Chicago and the University of California. Skillfully imparting the Communist line with espousals paralleling Soviet views, party spokesmen made 44 appearances before college groups during the calendar year 1964. (The exhibit follows:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 318 Speaking engagements on college campuses by Communist Party leaders, calendar year 1964 University of California (Santa Barbara campus) .............. Wayne State University--------------- Lake Forest College.__.._.__.___.__.._-_... ................... University of Wisconsin ..............?----- -- . - Santa Roca Junior College ............................ .. University of Wisconsin ............................................. Yale Universit ?------ Dorothy Ilealeyp....... Herbert Aptheker_..__.... David Englesteln..-_._..- Herbert Aptheker......... Albert J. Lhna James E. Jackson .-.--._.. llyman Lumer, Arnold Upsala College___-_.._? ..........--------------------------- niel Rubin. NeaoUne -rsity ..................`...._...._..._......_. IeerbertApt Green eker__..__.__II New York Univiversit Earlhain College ---------------- ? do .- -- Harvard University______________ ------------------------------------------- Elizabeth Gurley Flynn-- LyromingCollege_____...... _---------- _--------- .------- ?__.. Arnold Johnson .---.______ American River Junior College..------ ----- Albert J. Lima..-.---------- University of New llamp~shire_...._-.._ -._ James E. Jackson ....-.-__ Shinier College_____________ ---.-?.._...._..._- James West._._ Penn State University ----------------- ------ ---------- ------- Herbert Apthek_er .-------- .._.-_..-- Rutgers Universily------------------------------------------- Arnold Johnson ........... College of San Mateo------------------------------------- - - - Albert J. Lima __..______-- Amherst College-- --------------- -................ -? .......... Herbert Aptheker.____..._ College of San Mateo ------------------- _--------------------- Albert J. Lima --____._____ University of Los Vegas --------------------------------------- Dorothy Ilealey--_-?----., Union University------------------ ---------------------- ---- 17erbert Apthekcr....... University of -onsin__---------------- Wisconsin....------------------- ............... Claude Lightfoot.-..__._._ Brown Universsityity} -_- ------...--------- --------- --- --------- - - Elizabeth Gurley Flynn.. Wake Forest College. _...... ................................ George gieyers__ -..____-- City College of New York ---------- ----------- William Patterson_.______ Stanford University- ------- ----- - Albert J. Lima .______-._.. California Stale College ---- ------ --- florotl:yUealey.___.._ .- SanJose City College__.____------. Albert, J. Limit --------- San Francisco State College----------------------------------- I Henry Winston _________.. University of Caltfortdn -----_-----__---------------- Reed College..- .. Portland State College-------------- ____...._ University of Washington ---------- ------------_-_-_ University of Wisconsin.--.- University of Hawaii ---------- _ - .......................... Oberlin Lniversll University of Buffalo State University College (Cortland, N,Y)__-... _ ?_._ __....... Western Reserve University- --_----_. _.. Syracuse University (Utica, New York brancb) .............. Miami University iOxford, Ohio) ............... University of Wisconsin....................................... ----- ao-------------------- ....:do--- ---------------- .... do............. .., ----- do--- ----------------- do.................... Gus Bell__________________ Henry Winston ............ Herbert Aptbeker-_...-.. ..-do--- ----------------- Hyman Lumer....-------- Herbert Aptheker......... .do .................... Fred Blair --------------.- Jan. 13,1964 Feb. 19,1964 Do. Feb 21,1064 Feb. 28,1964 Afar 1,1964 Mar. ii" IRA Mar. le, 19U Mar. 17,1964 Apr. 3,1964 Apr. 6,1964 Apr. 8,1984 Apr. 13, 1964 Apr. 17,1964 Apr, 24,1964 Apr. 25,1964 Apr. 29,1984 be. Apr. 30,1964 May 4,1964 May 5,1964 May 6,1964 May 8, 1961 May 10,1064 May 1i, 1964 May 13,1964 May 15, 1964 May 19, 19G4 May :0,1964 May 28,1964 Sept. 28,1964 Do, Oct. 7, 1964 Oct. 0,1964 Oct. 12,1964 Oct. 21,1064 Oct. 23,1964 Oct. 24,1964 Nov. 13,1984 Nov. 17,1964 Dec. 3,1064 Dec, 8,1964 Dec. 11, 10M Dec. 13,1964 PROPAGANDA AND POLITICAL ACTIVITIES OF THE COMMUNIST PARTY Mr. HoovER. I ]land to the chairman pages of my testimony for insertion in the record, dealing with propaganda and political activities of the Communist Part Mr. ROONEY. We shall insert these pages at this point in the record. (The pages follow:) The Communist Party, U.S.A. continually makes strenuous efforts to increase and expand the distribution and consumption of its literature, James Allen, a member of the party's national committee, remarked at a meeting of the party's New York staff in May 196.1:, that sales of party publications had increased 7 per- cent nationwide. This increase is important since the Communists consider their press and publi- cations to be Lite most important and effective vehicle for agitation and propa- ganda. Through the dissemination of newspapers, books, pamphlets, leaflets, and other printed matter, the party indoctrinates its members and sympathizers and is able to reach and propagandize the non-Communist masses. The major Communist bookstores operating in the United States at this time are the Jefferson Bookshop in New York City; New World Book Fair, Philadel- pha; New Era Bookshop, Baltimore; Global Books, Detroit; Modern Bookstore, Chicago; Mary's Bookshop, Milwaukee; International Books, San Francisco; and the Progressive Bookshop, Los Angeles. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 319 In regard to the increased political activity of the leaders of the Communist Party, US.A., while party leaders would rejoice over a successful campaign by a Communist, they also look to this activity to obtain other benefits. In addition to affording opportunities to assert that the party is a legitimate political party and to lending the party an aura of respectability, this activity provides publicity and reduces the party's isolation from the mainstream of society. It enables them to influence vital issues of the day; to distribute propaganda; to present the party program to the electorate; and to advance the cause of communism. Some persons may not believe that a Communist could reach.a position of responsibility in Government through the election process. They have only to consider the thousands of votes cast for William Cottle Taylor, vice chairman of the party's southern California district, who publicly identified himself as a Communist while running in the California primary as an independent candidate for the Board of Supervisors of Los Angeles County, Although Taylor was defeated, he rolled up an impressive 33,576 votes, or sonic 13 percent of the total vote cast for this office on June 2, 1964. BLACK MUSLIMS AND STUDENT DEMONSTRATIONS AT UNIVERSITY OF CALIFORNIA Mr. HOOVER. I hand to the chairman pages which deal with Com- munist matters and another document on student demonstrations at the University of California at Berkeley. I also hand you an exhibit which deals with the Black Muslim organizations. Mr. Bow. Mr. Chairman? Mr. ROONEY. Yes, Mr.. Bow. Mr. Bow. Are you going to give us more information on the Black Muslims? Mr. HoovER. I had not intended to but I will be glad to read this if you want me to do so. Mr. ROONEY. Mr. Bow, before we get into that, may I suggest that we insert in the record these pages together with the exhibit on student demonstrations at the University of California at Berkeley as well as this document with respect to the Black Muslim groups,. (The pages follow:) COMMUNIST INFLUENCE IN RACIAL MATTERS The ever-increasing evidences of racial unrest in the country during the past year have witnessed a parallel in the increased emphasis being placed by the Communist Party, U.S.A. on the Negro question and the racial movement generally. There are clear-cut evidences that the party has not only been "talking," but also has .been directing and urging the increased participation by its adherents in the racial movement. As in any similar party effort at infiltra- tion, where there is participation there is influence in varying degrees. These party efforts, though embellished with high-sounding expressions by party leaders, claiming a sincere interest in the Negro and his problems, are, in reality, just another of the great deceptions practiced by the party through the years. Theirs is only a single aim' namely,. the gaining of Communist objec- tives looking toward the ultimate goai of the spread of communism throughout the United States. The racial unrest, then, offers the party a ready-made spring- board from which it is able to project its strategy and tactics. The past year found the party devoting maximum attention to its efforts to influence civil rights developments. Always alert to exploit discontent and promote disorder, the party continued to regard the civil rights issue as one-facet of the class struggle within the capitalist system. With this Marxist-Leninist analysis as a guide, the party has as an objective the use of the civil rights issue to create a Negro-labor coalition which it would dominate to advance the cause of communism in the United States. As in the words of the party's general secre- tary, Gus Hall, "Jim Crow can be dealt with only by dealing with capitalism." 46-866-65-21 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 320 The party's involvement in the racial situation is intended to also serve in the all-important task of recruitment, In early June 1964, the party's national headquarters proposed that headquarters be opened in major cities for the purpose of holding forums. The objective, as explained by a party functionary is to organize special study groups to teach "socialism" and thus make it possible for the party to recruit members from among civil rights fighters. Through our responsibility to be aware of the formation of organizations which might require investifativc attention to determine whether these organizations are engaged in activities in violation of any Federal statutes, various Negro organizations have come to our attention over the years, These include such organizations as the Nation of Islam, frequently called the Black Muslims, some members of which have refused to register under the provisions of the Selective Service Act, and the Revolutionary Action Movement, it highly militant, secretive organization which believes in replacing the capitalistic system with socialism. Such activities require coverage and add to our work. The Nation of Islam (NOI), an all-Negro, violently antiwhite organization, which is frequently referred to as the Black Muslims, teaches complete separation of the races; economic independence for the so-called Negro; and the black man in the United States will in the future own and occupy a separate black nation. The national headquarters of this organization is located in Chicago, Ill., and its leader is a, Georgia-born Negro who calls himself Elijah :Muhammad who claims to have been selected by Allah, the Supreme Being, to lead the so-called Negro out out of slavery. Muhammad and some other members of the NOI have refused to register under the provisions of the Selective Service Acts declaring that mem- bers of the organization owe no allegiance to the United States. Members of the NOI have continuously been involved in violent conflict with local police, These altercations have resulted in injury to both NOI members and the local police officers. The membership of the NOT has been estimated at 6,100 persons. However, the membership is decreasing as a result of the recent publication of charges filed against Elijah Muhammad asking support for illegitimate children. These charges indicate that Muhammad is the father of the children and the women have been employed as his secretaries. The disputes within the NOT have resulted in the formal organizing of splinter groups. One such group was formed by Wallace Muhammad, son of E1ij all Muhammad, and was known as the Afro- Descendant Upliftment Society. This group has ceased to exist and Wallace Muhammad has been reaccepted by the NOT. The Muslim Mosque, Inc. (MMI), was formed in March 1964, and headed by Malcolm X Little, former national functionary and leading spokesman of the NOI, until Little's murder on February 21, 1905. The MMI is also an all-Negro, violently antiwhite organization. The MMI, according to the statements of its former leader, advocates entrance into the civil rights movement in the United States and the formation of rifle clubs by Negro groups for the purpose of self- defense where the Federal Government will not afford adequate protection to civil rights demonstrators. The MMI also advocates the formation of Mau-Mau- type guerrilla bands to obtain Negro rights. This organization teaches a Muslim religion. The national headquarters of this organization is located in New York City. Efforts are being made to organize branches in various cities, including Boston and Philadelphia. Members of the NOI and the MMI have engaged in altercations mainly arising out of the belief that the NOI has "declared war" upon the MMI and Little. This is a result of public utterances by Little indicating that Elijah Muhammad is the father of illegitimate children. Little was shot and killed on the afternoon of Febneary 21, 1965, while speaking at a meeting of the Organization of Afro-American Unity. The New York City Police Department has arrested Talmage Ilayer, Thomas Johnson, aid Norman Butler in connection with this murder and is seeking others believed to have been involved. Ilayer was previously arrested on November 8, 1963, and charged with receiving stolen goods in connection with the theft of firearms from the Liberty Firearms Co., Passaic, N.J. Ile was released on $3,500 bail. This matter is still pending in the courts. Sources of this Bureau have identified Ilayer as a member of the Nation of Islam who attended meetings as recently as 2 months ago. Butler and Johnson were also previously arrested, in New York Cit}?, as a result of the shooting on January 6, 1965, of Benjamin Brown. Brown bad defected from the Nation of Islam and had set up a Muslim worship hall. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 321 Sutler and Johnson have been.described as "enforcers" of Nation Islam Temple No. 7 in New York City,. At. the time of their arrest in connection with the shooting of Little both were out ;on.$10,000 bail in connection with the shooting of Brown, Organization of Afro-American Unity (OAAU) : The formation of this organi- zation was announced in June 1964, by its then leader Malcolm X Little. The purpose of the OAAU is to bring before the United Nations the existing problems of the Negro in the United States. Membership of the OAAU is made up of members of the MMI, plus other individuals who do not desire to become involved in 'the religious teachings of.the MAIL Headquarters of the OAAU is located with the MMI headquarters and the same individuals direct both organizations, Revolutionary Action Movement (RAM) is described as a highly militant, secretive organization following the Chinese-oriented Marxist-Leninist line and believes in replacing the capitalistic system with socialism. This group reportedly has a collective leadership representing Boston, Mass.; Chicago, Ill.; Cleveland, Ohio; and Detroit, Mich, According to information we have. received, RAM either follows or believes in the writings of Robert Franklin Williams, a Bureau fugitive currently residing in Cuba. Williams has visited Red China. In August 1961, Williams and others were charged with kidnaping a white couple at Monroe, N.C., during a racial incident. He fled to Cuba, where he has established a publication identified as "The Crusader" which advocates that Negroes arm themselves and fight violence with violence. Although no timetable is known, RAM allegedly has its program organized into three stages, the first one being education and recruitment. The second stage is one of expropriation whereby efforts will be made to secure sufficient funds for the organization. This will include robbery and other means,. legal or illegal. The third stage will be one of direct action whereby the present system of govern- ment will be replaced by RAM's Chinese-oriented society, to be accomplished by any means available. Another militant Negro organization is known as the Black Liberation Front. Members of this organization were involved in the conspiracy to destroy through the use of explosives several of our national monuments. Robert Steele Collier, a Negro, is the self-styled leader of this organization which has only a handful of members. The joint investigation by the FBI and the New York City Police Department into the conspiracy to dynamite three symbols of liberty and freedom in the United States-the Statue of Liberty in New York City, the Liberty Bell in Philadelphia, and the Washington Monument in Washington, D.C.-led to the arrest on February 16, 1965, by the police and the FBI of three Negro men, Robert Steele Collier, Walter Augustus Two, and Khaleel Sultarn Sayyed; and Michelle Duclos, a white woman from Canada. A quantity of dynamite and blasting caps was also recovered. All were charged with conspiring to destroy Government property. The New York City Police Department also charged Robert Collier with the unauthorized possession of explosives. All are awaiting further prose- cutive action. Collier, in 1964, traveled to Cuba in a group under the auspices of the Student Committee for Travel to Cuba in violation of a U.S. Department of State ban on such travel. Another of the Negro men, Walter Augustus Bowe, has been a supporter of the Fair Play for Cuba Committee and Fidel Castro, MEMBERSHIP Leaders of the Communist Party, U.S.A. continue to publicly place the party membership in this country at 10,000, as, for example, in May, 1964, when Albert Lima, leader of the party's northern California district, used this figure when speaking before an audience of approximately 3,000 at the College of San Mateo,, San Mateo, Calif. There are, of course, thousands of other individuals who are not actual members but stand ready to aid the hard core membership. Party leader Gus Hall himself at a press conference on October 26, 1964, placed the membership at approximately 10,000 with 90,000 close sympathizers: The latter group, according to Hall, comes under the Communist Party influence and is growing to the party's satis- faction.; Encouraged by recent court decisions which the party considers major victories in its efforts to nullify the Internal Security Act of 1950, and convinced that a Appal esd Ll '(sW9)b6/1(OaydfA"fQtOl II30koo oO 4Q001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 322 cure for domestic problems, such as civil rights and poverty, the party has stream- lined its structure in preparation for operating more openly. Through its stepped- up programs, the party, of course, hopes that numerous Americans will become lulled by the mass of high-sounding Communist propaganda and eventually lose perspective of the issues involved and gravitate to the party. Although party members are being urged to speak out more freely about their beliefs and about Marxism-Leninism, the party has given no indication that it intends to abandon its use of security measures. In most parts of the country, party members continue to employ safeguards to protect their identity and party meetings are still held under clandestine conditions. 1 am pleased to advise the committee that despite the many urgent investigative problems confronting us in other fields of endeavor and despite the security measures employed by the Communist Party, U.S.A., our overall coverage of the party continues to improve. STUDENT DEMONSTRATIONS, UNIVERSITY OF C.tLIFORYIA AT BERKaIEY, FALL OF 196-1 Demonstrations at the University of California were initiated October 1, 1961, by a small group of students who formed an organization called the Free Speech Movement (FSM) which demanded the right to engage in political activities on campus in local, State, and National elections in violation of university regulations. Remonstrations continued through October and November in spite of overtures and concessions by the university administration to the demands of the demon- strators. In this regard, on November 20, 1964, the board of regents endorsed a recommendation of the faculty committee that eight suspended students be reinstated and that soliciting of off-campus activities and funds be allowed on a modified scale. However, when the regents stated students would be held responsible for their activities on campus which would lead to "unlawful" off- campus deeds, the FS'M immediately denounced the regents' ruling and continued sit-ins. On December 2, 1964, approximately 1,000 demonstrators gathered in Sproul Hull, University of California, and refused to leave, resulting in Governor Brown of California issuing orders to RITCSt those who refused. Accordingly, at 3:45 a.m., December 3, 1964, over 600 police officers arrested 780 demonstrators who refused to leave Sproul llsll. The arrests were without violence or injuries. Mario Savio, student leader and spokesman for FSM and the demonstrators, has a previous arrest record for sit-in demonstrations. During the period No- vember 10-14, 1964, Savio was on a speaking tour of colleges in the Midwest and East seeking financial support for the arrested students. A close adviser who accompanied him on this tour was Bettina Aptheker, member of the W. B. B. DuBois Club of Berkeley (a Marxist-oriented youth organization) and daughter of Herbert Apthekcr, publicly identified in the Communist newspaper, The Worker, in its issue of July 30, 1961, as a member of the National Committee of the Communist Party, U.S.A. Individuals with subversive backgrounds who participated in the demonstra- Lions included 5 faculty members and 38 individuals who were students or con- nected with the University of California in some capacity. This is another example of a demonstration which, while not Communist origi- nated or controlled, has been exploited by a few Communists for their own end. In this instance, a few hundred students contain within their ranks a handful of Communists that mislead, confuse, and bewilder a great many students to their own detriment. Communist Party leaders feel that based on what happened on the campus of the. University of California at. Berkeley, they can exploit similar student demon- stration,; to their own benefit in the ful uv. 11r. HOOVER. Do you want; inc. to read this? Mr. Bow. Either that or briefly tell u, smnethinF about the Black Muslim orgnnizatiOI1 and M alcoltn X. WC11at- is going on? You can do this off the record if you want. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 323 I would like to know a little more about what is going on. (Discussion off the record.) Mr. Bow. Thank you very much. Mr. ANDREWS. Off the record, please. (Discussion off the record.) TELEPHONE TAPS Mr. HoovER. In carrying out our investigative responsibilities, we have 44 telephone taps in operation. Each must be authorized in advance and in writing by the Attorney General. Their use is highly restricted-that is, only in matters in which the internal security of the country is involved, and in kidnaping and extortion violations where human life is in jeopardy. All those now in operation fall in the internal security category. I think 44 is extremely low for the cover, age we have to give. You. will hear statements publicly that the FBI has thousands of telephones tapped throughout the country. That is absolutely untrue. PROSECUTIONS UNDER SMITH ACT, 1940 AND INTERNAL SECURITY ACT. ,1950 I hand to the chairman for insertion in the record two exhibits, Mr. ROONEY. We shall at this point insert in the record these exhibits. (The material follows:) PROSECUTIONS UNDER THE SMITIi ACT OF 1940 From 1949 to 1956, 104 leaders of the Communist Party, U.S.A.. were con- victed of conspiracy to organize as the CPUSA a group of persons who teach and advocate the violent overthrow of the U.S. Government and of conspiracy to teach and advocate such violent overthrow. The U.S. Supreme Court on June 7, 1957, held in one case that since the CPUSA was organized in 1945, any indictment returned subsequent to 1948 which charged the defendants with organizing the CPUSA was void under the statute of limitations. The decision further held that the Government had failed to establish that the teaching and advocating of violent overthrow of the Government by the defendants went beyond the "abstract theory" stage and actually "incited to action." As a result of this Supreme Court decision, most of the defendants who had been convicted for conspiracy to violate the act were either acquitted or ordered retried. The indictments against the defendants who were ordered retried were subsequently dismissed at the request of the Government since available evidence did not meet the standards set by the court relative to "incitement to action." The last outstanding indictment against six former functionaries of the party at Denver, Colo., was dismissed on November 12, 1964. In June 1962, the Smith Act was amended to clarify the term "organize" but the act continues to be ineffective because of the second part of the Supreme Court decision pertaining to "inciting to action." Legislation aimed at circumventing the "incitement to action" aspect of the decision has been introduced in several sessions of Congress but has not been enacted. In addition to the 104 conspiracy convictions, 5 other party leaders were convicted for violating the membership provision of the act. On June 5, 1961, U.S. Supreme Court decisions held that, to sustain a con- viction under the membership provision of the act the Government must not only prove that the defendant is an "active" and "knowing" member of an organization, which advocates the violent overthrow of the Government, but must also prove specific intent by the defendant to accomplish the aims of the organization as speedily as the circumstances will permit. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 324 As a result of these decisions, one convicted member, who served 15 months, lead his 6-year sentence commuted; another conviction was reversed by an appel- late court; the indictments against two others were dismissed at the request of the Government; and the remaining conviction was reversed on another ground and the indictment dismissed at the request of the Government, Outstanding indict- ments against nine others, including seven defendants in the first conspiracy trial, were also dismissed, PROSECUTIONS UNDER THE INTERNAL SECURITY ACT OF 1950 PROSECUTION OF PARTY AS AN ORGANIZATION On June 5, 1961, after more than 10 years of hearings and judicial review, the U.S. Supreme Court upheld the constitutionality of the registration provision of the act. The registration order of the Subversive Activities Control Board became final an October 20, 1961, but the November 20, 1961, deadline for the party as an organization to register with the Attorney General passed without compliance-as did the deadline of November 30, 1961, for the officers of the party and the Decem- ber 20, 1901, deadline for individual members. On December 17, 1962, the party was found guilty under a 12-count indictment charging it with failure to resister as a Communist-action organization. The maximum fine of $120,000 was imposed. This was appealed and on December 17, 1963, the court of appeals reversed the lower court on the ground that the fifth amendment privilege against self-incrimination was available to the officers of the party as legal justification for refusing to sign the registration forms. The court of appeals also held that the burden of proof rested with the Government to establish that "someone" was willing to sign the registration forms on behalf of the party, and if such a "volunteer' could not be produced, the indictment should be dismissed. On January 21, 1964, the Government filed a petition requesting that the court of appeals hear the matter sitting on bane. The court on February 21 1964, denied the petition and on June 8, 1964, the U.S. Supreme Court denied a govern- ment petition to review the court of appeals decision. On February 25, 1965, the Federal grand jury, Washington, D.C., roindicted the party for failure to register. Retrial of this case is set for October 1965. On March 15, 1962, individual indictments were returned against party leaders, Gus Hall and the late Benjamin J. Davis, Jr., charging them with failure to register for the party and with failure to file the registration statement. On September 25, 1963, the district court ordered the trials consolidated and then postponed hearings on motions to dismiss and setting of a trial date pending a final decision in the registration case against the party as an organization. On August 22, 1964, Davis died of cancer and on October 9, 1964, the Govern- ment moved to dismiss the indictment against him. Since May 31, 1902, the Attorney General has petitioned the Subversive Activ- ities Control Board to order 25 members of the party's national committee and 19 additional party officials on a lower level to register as party members under the act. The Board has ordered 37 to register and the remaining 7 cases are under consideration by the Board. Two membership registration cases have been consolidated for purposes of appeal. On April 23, 1964, the court of appeals upheld the registration order of the Board, This was appealed on July 13, 1964, to the Supreme Court. Under the section of the act proscribing members of the party from applying for, using, or attempting to use a U.S. passport, the Secretary of State, after hearings before a State Department Passport Board, ordered the passports of the late Elizabeth Gurley Flynn and of Herbert Aptheker revoked, These individ- uals filed a civil action to enjoin the passport revocation. The court of appeals upheld the Governments action but the U.S. Supreme Court on June 22, 1964, held that that portion of the act relating to the passport Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 325 Sanction was unconstitutional; that the right to travel is protected by the due process clause of the fifth amendment; and that the passport sanction "sweeps too broadly and indiscriminately over this. liberty." As a result, there is no restriction on the issuance of passports to the party and the Department has declined prosecution on approximately 75 cases which had been referred as possible violations under the passport sanction. Two indictments previously obtained will undoubtedly be dismissed. Communist ' As a further result of this decision, several leading CParty officials have obtained U.S. passports for foreign travel. Most of them proceeded directly to the Soviet Union. DEFENSE EMPLOYMENT SANCTION Another section of the act prohibits the employment and the like of a party member in a defense facility designated by the Secretary of Defense. The Bureau referred approximately 30 cases to the Department as possible violations. On May 21, 1963, Eugene Frank Robel, of Seattle, Wash., was indicted under this section. Robel returned to his job following his release on bond. Further prosecutive steps have not been taken, it being noted that recent court decisions such as the Supreme Court decision on the passport sanction will have a bearing on whether or not the Robel case ever goes to trial. Mr. HoovER. I hand to the chairman several additional pages. Mr. ROONEY. We shall insert these pages at this point in the record. (The pages follow:) MINUTEMEN ORGANIZATION We have long been aware of the Minutemen organization and our investigation is continuing. The headquarters of this organization is located at Norborne, Mo., and it is headed by Robert DePugh. Our investigation aims to determine the locations of units of the organization; the identities and backgrounds of the officers of each unit as well as the principal active members of each unit; whether the activities of the organization are in violation of any Federal statutes over which the Bureau has investigative jurisdiction; and whether the organization or its members pose a threat to the life of the President or other Government officials. Minutemen claims its primary purpose is to prepare its members to overthrow the Government of the United States in the event the Government is taken over by the Communists. DePugh has said that members of his organization .are reading each issue of various "leftwing" periodicals to obtain names of suspected Communists and fellow travelers. He also has advised special agents of the FBI that the prime purpose of the Minutemen is intelligence gathering, in order that they can alert the American people to the efforts being made to socialize the United States. He has stated that many Minutemen are infiltrating "liberal and leftwing" organizations for this purpose. DePugh has also said that the Minutemen as an organization does not buy or store arms, but individual members maintain whatever arms and ammunition they purchase with their own personal funds "which is their constitutional right." He has stated that his organization will stress "infiltration" of opposing groups, and turn to armed revolt only as a last resort. He has said that "we feel that with the use of intelligence, security, propaganda, and infiltration we can turn our enemies weapons against themselves." He has stated that the Minutemen advocate "armed resistance only when it has become very apparent to all the people that Communists or Fascists have overtaken the Government and all the people themselves are willing to support an armed revolution." In March 1963 the monthly newsletter of the Minutemen organization entitled "On Target" referred to 20 U.S. Representatives in Congress as Judases and traitors because they had voted against increasing funds for the House Committee on Un-American Activities. This newsletter repeatedly employs a rhetoric of violence. For example, another portion of this newsletter carried the statement "Traitors beware! Even Iiow the crosshairs are on the back of your necks." Our investigation indicates this organization is a loose federation, with each unit acting independently and lacking any real central control. Its numerical strength'is probably greatly exaggerated. DePugh is the only known leader of the group. He is, therefore, its sole spokesman and some of the things he says are, indeed, hard to believe. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 326 DePugh, for example, avoids the responsibility of trying to prove that all he says of the Minutemen, their activities, or their size is true. While he has placed the membership in the Minutemen at "more than 25,000," there is little real evi- dence that the Minutemen are anything more than essentially a paper organi- zation, with just enough followers over the country so they can occasionally attract a headline, usually because of their preoccupation with violence, or weap- ons of war. We have penetrated this organization, and our sources are keeping us advised of developments. The results of our investigation are being furnished on a continuing basis to the Department of Justice, the military intelligence agencies, and the Secret Service. CONCLUSION The Communists work untiringly to change our form of government while, at the same time, they attempt to be accepted as legitimate partners in our society and to achieve respectability. Not only young people, but all Americans should be cognizant of the party's propagandizing and should be alert to the falsities of the Communist claims. Nothin can defeat this Communist propaganda offensive more quickly than the truth. This does not mean that we must merely counter communism., We must at the same time deepen and enrich our own heritage of freedom. Party leaders would hope that this country would consider the party strength here to be insignificant. It would be fateful to so consider it. The party in this country is operated by a corps of hardened, disciplined Communists who feel that Moscow represents the final goal of all mankind's hopes. The influence of the party is far greater than its size would indicate and the small band of openly admitted Communists is bulwarked by the innumerable inactive party members who are patiently waiting for such events as the complete defeat of the Internal Security Act of 1950. These individuals have not disclaimed the parts and, as legal restrictions are removed, many of those now sitting on the sidelines can be expected to move back into action. The reaction of the Communist Party in this country to the recent retaliatory airstrikes in North Vietnam by U.;.':tiavy aircraft for mortar attacks on U.S. bases in South Vietnam is a most timely example of the unification of the Com- munist movement in this country. Within minutes after the attacks were announced, Arnold Johnson, the party's public relations director, issued a press release which bitterly condemned the airstrike as "an act of brutal a;gression which horrifies the world." The American people were urged to speak out and demand that the U.S, withdraw all troops from South Vietnam. Telegram campaiens were organized and protest demonstrations were urged. Other groups, such as the W. E. B. DuBois Clubs, the youth group formed by the party, sup- ported the party, in the protest action. The devious hand of the Communists also appeared on the turbulent campus of the University of California at Berkeley, which has been constantly disrupted with "student demonstrations" over the past months. On February 8, 1005, about 1,300 demonstrators protested U.S, Intervention in Vietnam. speakers, con- demning the United States for starting the war in Vietnam, included Herbert Aptheker, a member of the National Committee of the Communist Party, U.S.A. and other party members who "just happened to be there." All speakers urger their listeners to more direct action and called for a demonstration at the New Federal Building in San Francisco. At Madison, Wis. at, the University of Wisconsin, a similar protest meeting held by students an' faculty mcm':crs was led by individual students and faculty members, some of whom have Communist backgrounds. One of these was Daniel Friedlander, who is active in the DuBois Clubs in Madison. The major lesson to be learned from all this is that the Communists and their supporters in this country are not a weak, insignificant element on the American scene. The wave of demonstrations which erupted on a national scale immedi- ately following news of the U.S,. counterstrike against Communist forces in Vietnam demonstrates how unified, organized, and powerful an element the Com- munist movement in the United States is today. While many of the demonstra- tions were organized by legitimate sincere pacifist groups, Communists and their supporters also organized a numtner of demonstrations and are attempting to exploit to their own benefit the activities of the legitimate organizations. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 327 ESPIONAGE AND COUNTERINTELLIGENCE Mr. HoovER. In regard to espionage and counterespionage opera- tions, we differentiate between these activities and those of the Com- munist Party, U.S.A. The Communist Party, U.S.A. is made up mostly of U.S. citizens. The subversive role of the Communist Party, U.S.A. is but one aspect of the Communist. threat to the internal security of our Nation. The other is the espionage and intelligence attacks mounted against this country by the Communist-bloc countries. Underlying both aspects of the threat to our internal security from the international Communist movement is the fact that we are competing with a totali- tarian system, intent on our destruction, which operates the most extensive networks of subversion and espionage ever developed in history. In regard to the Communist bloc espionage attack against this country, there has been no letup whatsoever. SOVIET ESPIONAGE TARGETS AND OBJECTIVES Though seeking any and all information which may be utilized to weaken the United States or implement their plan of world com- munism, the Soviet intelligence services have placed special emphasis on such targets and objectives as: 1. Penetration of U.S. intelligence and counterintelligence agencies. 2. Penetration of other governmental agencies. 3. Collection of data concerning scientific and technical develop- ments of any and all types. 4. Collection of data of military interest ranging from. information concerning atomic submarines to the location of missile and radar bases. 5. Collection of data concerning those industries closely concerned with America's defense efforts. (Discussion off the record.) Mr. HOOVER. I submit to the chairman a page which shows the use of official personnel by the Soviets for intelligence purposes. Our Government is about to allow them to establish consulates in many parts of the country which, of course, will make our work more difficult. Mr. ROONEY. Do you think the advantages in cultural exchange will more than offset these disadvantages? Mr. HoovER. We have found in practically every cultural exchange group or student group that has come to this country, there is always a member of the KGB, the intelligence service of the Russian Govern- ment. They are called students but some are 36, 37, or 38 years old. Mr. ANDREWS. They are never too old to learn. Mr. HoovER. They are never too old to learn. Even the athletic teams that participated in the Olympics had two or three intelligence officers to maintain discipline and prevent defections. Nevertheless, there have been some defections. Mr. ROONEY. They covered the Bolshoi Ballet; do they not? Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 328 Mr. IioovER. Yes. M!Ir. RooN-Ey. We shall insert this page at;this'point in the record. (The page follows;) The methods used to collect the data sought by the Communist-bloc intelli- gence services are almost as varied as the types of data which they endeavor to collect. One of their mainstays is the collection of information--classified and otherwise-through espionage operations involving personnel legally assigned to official Soviet and satellite establishments in the nited States. The focal points of these operations continue to be the United Nations and the Communist embassies, legations, consulates and news or commercial agencies in our country. Such gathering of information is conducted by the Communist representatives using the legal cover of their diplomatic or other official status to cloak their spying activities. SOVIET BLOC OFFICIAL PERSONNEL Historically, the Soviet intelligence services have appropriated the great bulk of official positions abroad, primarily using their official representatives and diplo- matic establishments in other countries as bases from which to carry on their espionage operations, As of February 1, 1965, there were 843 Soviet-bloc official personnel stationed in the United States, accompanied by 1,173 dependents, many of wLom have espionage potential. This does not include those official Soviet-bloc representatives and their de- pendents who are temporarily in the country, such as couriers, members of special delegations, and the like. As of February 1, 1965, there were 907 individuals from the Soviet bloc in this country which fail in this category. (Discussion off the record.) Mr. IloovER. I hand to the chairman a page which deals with new Soviet consulates and the transmission belts for Soviet-bloc official personnel. Mr. ROONEY, We shall insert this information at this point in the record. (The page follows:) NEW SOVIET CONSULATES Long seeking greater official representation in the United States which would be more widely spread over the country, a cherished goal of the Soviet intelligence services was realized when the United States signed an agreement with the Soviet Union on June 1, 1964, providing for the reciprocal establishment of consulates in our respective countries, One Soviet intelligence officer in commenting on the agreement spoke of the wonderful opportunity this presented his service and that it would enable the Soviets to enhance their intelligence operations. In involving the great bulk of their official personnel in intelligence activity in one way or another, the Soviets utilize to the fullest extent possible any and all official means such as the United Nations, trade delegations, and the like, as transmission belts to carry additional intelligence personnel into this country. Here are some examples to illustrate this fact. Mr. HOOVER. East-Wes t Exchange Program-The numerous Soviet scientific delegations which arrive in the United States to tour U.S. universities and scientific establishnients invariably have among their members Soviet scientists who have been given special assignments by the KGB. It is established Soviet policy that among such groups are one or more full-time KGB officers who are in charge of the delegations. Upon returning, Soviet scientists who have visited the United States under the exchange program are required by the KGB to sub- mit comprehensive reports on the technical aspects of their trip, Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 329 including descriptions of"installations visited, research being. conducted. and the sta,kus of particular projects. They must also submit reports concerningAmericans contacted for possible future use by the KGB.. Students`,-As to the students, many of the Soviet exchange students attending colleges and universities in the United States are utilized as agents by the KGB. Having the responsibility of obtaining any information of intelligence interest, they photograph (or deliver to their KGB superiors for photographing) documents and scientific, papers to which they have access as students. Of the Soviet students in the United States for the school term beginning in the fall of 1964, over 20 percent were suspected of being agents with specific KGB assignments or officers of the Soviet intelli- gence services. Press representatives-Press cover is tailored. for the intelligence work of the Soviets. They are in a business in which they are expected to be where news is developing, to meet those persons having intimate knowledge, to ask questions and to seek information. As of February 1, 1965, over half of the Soviet nationals posing as press representatives in the United States were known to be intelligence agents. Amtorg Trading Corp.-Disguising their intelligence personnel as legitimate trade representatives has long been a tactic of the Soviet intelligence services. The official cover utilized enables such personnel to travel extensively and meet many persons associated with fields of special intelligence interest. Over half of the Soviet nationals employed by the Amtorg Trading Corp. in New York City on February 1, 1965, were known or suspected to be actually connected with the Soviet intelligence services. United Nations-Fully exploiting their diplomatic immunity, free- dom from travel restrictions and the respectability enjoyed as members of an international organization dedicated to world peace, the Soviet intelligence services have continued to increase their use of employ- ment with the United Nations as a cover for their espionage personnel, On July 1, 1960, there were 32 Soviet official personnel assigned to the United Nations Secretariat. By February 1, 1965, the number had mounted to 108, of whom half were agents or officers of the Soviet intelligence services. (Discussion off the record.) Mr. HoovER. Not only does the Soviet bloc take advantage of all types of cover but the flow of visitors to and from the many Soviet-bloc countries is on the increase. For example, in the case of Hungary, only a handful of visitors arrived in the United States from that country in any given month 4 or 5 years ago. In July 1964, we received notification of the arrival of over 1,000 visitors from Hungary alone. This not only adds to our work, but also creates a vehicle for the clandestine introduction into the United States of individuals having intelligence assignments. . "ILLEGAL" (DEEP COVER) OPERATIONS A growing problem is the extent to which the Soviet intelligence services are dispatching undercover spies into the United States. These individuals have no ostensible connection with either the official Soviet establishments or personnel in this country nor do they Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release. 2005/08/16 : CIA-RDP70B00338R000300040001-0 330 make any overt contacts with their foreign espionage headquarters. They are well-trained, professional intelligence officers and usually bear assumed identities and are supplied with expertly fabricated documents and unlimited funds. They enter the United States without difficulty to become assimilated into our population and, unless uncovered, eventually servo as the nucleus of an extensive clandestine espionage network. Their detection among the more than 190 million people in this country is a counterintelligence problem of great magnitude. AVAILABILITY OF PUBLIC INFORMATION Greatly aiding the intelligence work of the spies in our midst, whether they are here under some outwardly apparent, ufcial capacity or here as an undercover es ionage agent with no apparent foreign connection, are the relative freedom to travel about the country and the vast amount of _public information available in our democratic country regarding all phases of activity, including industrial, scien- tific, technological, and military. For example: Reconnaissance trips: Each year Soviet-bloc official ppersonnel syystematically travel through various parts of the United States, obtaining maps and photographs, carefully observing miliory in- stallations and industrial facilities, submitting detailed, illustrated reports concerning objects of intelligence interest. Attendance at conventions and exhibits: Along the same line, during the fiscal year 19G4 a total of 86 Soviet-bloc officials attended 61 con- ventions, symposia, and exhibits in various parts of the country. There they photographed material on exhibit, picked a masses of unclassified strategic intelligence information, and established contact with individuals having mihtari,, scientific, and industrial connections. Subscriptions and libraries: The Soviet-bloc official personnel sub- scribe to a wide variety of U.S. newspapers, magazines, technical journals, and industrial and scientific publications, fully. ca italizing on a free press so different from the carefully controlled publications within their own countries. Frequently, such subscriptions are obtained by Soviet officials without indicating their official connection, under false names or through the use of intermediaries. These individuals likewise make extensive use of the masses of technical information available in our many public libraries. Correspondence with U.S. industrial organizations: Carefully re- viewing advertisements appearing in scientific and industrial publica- tions for items of interest, the Soviet-bloc personnel initiate direct correspondence with U.S. industrial establishments, soliciting and frequently obtaining photographs, blueprints, and detailed specifica- tions of our most recent industrial developments. In spite of regula- tions to the contrary, reference to their foreign official connection is usually omitted, their names Americanized or completely fabricated. (Discussion off the record.) Mr. HOOVER. Another problem which requires a wider coverage in our counterintelligence work is the current emphasis being placed by the Soviet-bloc intelligence services on the utilization of bases in Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 331 other countries in directing their intelligence attacks against this country. (Discussion off the record.) CUBA AND COMMUNIST CHINA Mr. HOOVER. Along the same line, the FBI continues to have heavy investigative responsibilities in the Cuban field. While there has been a lessening in open activities on the part of pro-Castro organiza- tions such as the Fair Play for Cuba Committee, the Cuban Govern- ment has continued its efforts to infiltrate intelligence agents into this country. Also, Communist China represents one of the gravest long-range security threats and the FBI is continuing to devote close attention to coverage of possible Chinese Communist agents and sympathizers in the. United States. There is every likelihood that Chinese Com- munist intelligence activities in this country will increase in the next few years, particularly if Communist China is recognized by the United Nations and is thereby able to establish a diplomatic mission in this country. (Discussion off the record.) DISSEMINATION OF INTELLIGENCE :INFORMATION Mr. HOOVER. The diplomatic immunity cloaking the great bulk of the Soviet-bloc personnel engaged in the espionage attack against this country, coupled with the compromising of confidential sources and investigative techniques, precludes the possibility of court action in -many instances. As a r'estilt, our primary responsibility in this field is of a counterintelligence nature. At the same time, however, a great deal of positive intelligence information is produced from our investigations and sources. Such information. is made available to the White House, the Department of State, our military services, the Cen- tral Intelligence Agency, and other organizations having a legitimate interest. It has assisted them in establishing policy and taking necessary action to further protect the security of our country. I hand to the chairman of the Committee a chart showing action taken by other agencies. Mr. HoovER. Cases prosecuted include that of Nelson C. Drum- mond, a U.S. Navy enlisted man who was convicted of espionage conspiracy on July 19, 1963, and was sentenced on August 15, 1963, to life imprisonment. This has been appealed. Originally recruited by the Soviets in England in 1957, Drummond had surreptitiously re- moved classified documents from the files at the U.S. Naval Base, Newport, R.I., and was, when arrested, in the process of turning these over to a Soviet official who at the time was a secretary to the Soviet mission to the United Nations. This individual and another Soviet, also a member of the Soviet mission, were declared. persona non grata by our Government. In another instance, prosecution was undertaken in regard to a Soviet husband and wife team who were determined through our investigation to be operating as undercover spies in this country under Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 332 the assumed identities of Robert K. and Joy Ann Baltch. One Ivan Egorov, a United Nations Secretariat employee but actually a Soviet intelligence officer, and his wife served as part of the apparatus by which the Baltches transmitted data to their Soviet superior. The Government released Egorov and his wife for return to Russia in exchange for two Americans who had been in custody of the Soviets for a number of years. The Baltches' trial began September 28, 1964, but when it became necessary for the Government to produce information relating to 'highly confidential sources and informants of the United States, the Government dropped the prosecution on October 2, 1964, and steps were immediately taken to deport the Baltches. They departed from New York City on October 15, 1964, by plane destined for Prague. In another case, Georg e John Gessner, who had deserted from the 25 U.S. Army in 1960, subsequently furnished classified information to Soviet officials in Mexico City. lie was found guilt - on June 9, 1964, and was sentenced to life imprisonment, marking the first conviction under the espionage features of the Atomic Energy Act. This exhibit tells of this case and shows the widespread investigation required of the FBI. It involved work by 32 of our field offices in the United States and extended to 5 foreign countries. I hand to the chairman an exhibit covering the George John Gessner case. Another prosecution grow out of the arrest on October 29, 1963, at Englewood, N.J., of John William Butenko and Igor A. Ivanov, a chauffeur with the Amtorg Trading Corp. at New York City, on charges of espionage conspiracy. Butenko, an American electronics engineer, worked for the International Electric Corp., Paramus, N.J., where his duties pertained to a military communications system. Butenko was arrested after passing documents to Russian representa- tives. Because of diplomatic immunity, prosecution steps could not be taken against three Russian employees of the Soviet mission to the United Nations who were involved in the operation. They were declared persona non grata on October 30, 1963, and left the `jnited States on November 1, 1963. Butenko and the Russian chauffeur wore found guilty in Federal court on December 2, 1964, on charges stemming from the espionage plot. On December 18, 1964, Butenko was sentenced to 30 years' im- prisonment. At the same time, a 20-year sentence was imposed on the Russian chauffeur. Appeals are pendin . Ivanov, the Russian chauffeur, is free on bail pending his appeal. The most recent case of Soviet espionage to reach the prosccutivc stage was unfolded with the arrest on January 7, 1965, of Robert Glenn Thompson, a former U.S. Air Force enlisted man, who was charged in an indictment filed January 7, 1965, in the eastern district of New York, with conspiring to commit espionage and for acting as an agent of a. foreign government without prior notification to the Secretary of State. The indictment charged Thompson with conspiring with the Soviets between June 1957 and July 1963, tp, urj ash them docu- ments, writings, photogra- hs, notes, and information relating to the national defense of the United States and particularly information -relating to military equipment, military installations, missile sites, Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 333 and code books. Coincidental with the arrest of Thompson, on January 7, 1965, Boris V. Karpovich, a counselor at the Soviet Embassy, Washington, D.C., who was named in the indictment as John Doe, also John Kurlinsky, the name under which he was introduced to Thompson, was declared persona non grata by the U.S. Government for conduct incompatible with his diplomatic duties. Another Soviet official who dealt with Thompson in the United States had by the date of the filing of the indictment returned to the Soviet Union. On January 7, 1965, Thompson was released on $15,000 bond. Karpovich departed from the United States on January 12, 1965. (Discussion off the record.) Mr. HOOVER. A most recent prosecution which involved the misuse of American passports by Paul Carl Meyer illustrates the ready willingness of the Soviets to utilize misguided individuals to penetrate our shores. Meyer, in November 1962, acquired 15 passports of American citizens in the Chicago area by a fraudulent scheme. Meyer thereafter traveled throughout Europe and, when in Berlin in February 1963, established contact with the Soviets in East Ger- many who expressed intense interest in the passports in Meyer's possession. Meyer was induced by the Soviets to sell them the passports. Possibly, Soviet interest in these passports was based on their desire to alter them to enable surreptitious entries to be made into the United States by agents in their service. On February 3, 1965, Meyer pleaded guilty in Federal court, Chicago, Ill., to an indictment charging him with four counts of misuse of American passports. On February 26, 1965, he was sentenced to 2 years' imprisonment on the first of these counts and to 1 year each on the remaining three counts, these sentences to run concurrently. CRIMINAL AND CIVIL INVESTIGATIVE OPERATIONS Turning now to our criminal and civil operations, the work and responsibilities in this area have climbed sharply and we have had to assign more and more of our available manpower to cope with the situation. There is no indication but that the work in this area will continue to increase. BANK ROBBERY The fiscal year 1964 witnessed the largest number of -violations of the Federal Bank Robbery and Incidental Crimes Statute in our Na- tion's history. The 1,624 violations in that year reflected an increase of 253 offenses, or 18 percent, over the previous year and included 1,0,14 robberies, 412 burglaries, and 198 larcenies of banks, credit unions, and savings and loan associations. This chart shows the mounting volume of work we have had to handle under this statute. All of these violations must receive im- mediate and continuous investigation by a heavy assignment of manpower. Mr. ROONEY. This chart showing Bank Robbery Statute viola- tions, fiscal years 1962-64, shall be7inserted in the record~at!this point. (The exhibit follows:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 334 FEDERAL BANK ROBBERY STATUTE VIOLATIONS REPORTED 1962 1963 1964 GALL-TIME HIGH Mr. IloovER. Our accomplishments reflect the investio'ativo drive which has been mounted against this vicious crime, wring the fiscal year 1964, convictions rose to 702, an increase of 24 percent over the prior year, and 203 fugitives were located as compared with 149 during 1963. FEDERAL RESERVE ACT VIOLATIONS Another type of criminal attack against the Nation's financial institutions is that involving embezzlements and other such related offenses. A record high 2,728 cases of possible embezzlement, and the like, by officers and employees of banks and other financial insti- tutions were reported to the FBI during 1964. These matters involved shortages in excess of $19 million. This chart shows the upward trend of our work in this area. Mr. ROONEY. The chart shall be inserted in the record at this point. Soo p 335 for chart. Mr. HOOVER. An allthue high total of 596 convictions was recorded in 1964, and fines and recoveries growing out of our investigations totaled $16,869,018. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 335 FEDERAL RESERVE ACT VIOLATIONS REPORTED FISCAL YEARS 2,262 2,469 2,728* r 1962 1963 1964 *ALL-TIME HIGH FUGITIVE FELON ACT Mr. HoovER. A record high 3,062 fugitives were located during 1964 under the provisions of the Fugitive Felon Act. The mounting accomplishments under this statute illustrate the growing amount of work we have been handling as well as the great cooperative strides we have been able to make as the result of legislation broadening our jurisdiction to aid local law enforcement in locating far-ranging fugitives. This exhibit is a chart showing Fugitive Felon Act fugitives located, fiscal years 1962-64. Mr. ROONEY. We shall at this point insert this chart in the record. (The chart follows:) 46-866-65--22 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 336 FUGITIVE FELON ACT NUMBER OF FUGITIVES LOCATED FISCAL YEARS 3,062 * trmft,311 1P, 2,514 1,878 1962 1963 1964 *ALL-TIME HIGH Mr. HOOVER. The broadened jurisdiction resulting from. the amendment of the Fugitive Felon Act on October 4, 1961, has, of course, resulted in a substantial addition to our workload volume. In the fiscal year 1961 and prior to the new amendment 1,418 unlawful flight fugitives were located by the FBI, The 3,062 located in 1964 re resent an increase of 116 percent over this 4-year period. The apprehension of Walter Lee Parman by FBI agents at Los Angeles, Calif., on January 31, 1965, climaxed an extensive, nation- wide investigation to locate him under the provisions of the Fugitive Felon Act. The Metropolitan Police Department of Washington, D.C., had requested this Bureau's assistance in locatin@ Parman after he was charged with the strangulation murder of Shirle Ann Cary, a State Department secretary, whose nude body was found in an alley in Washington, D.C., on January 9, 1965. Miss Cary's body bore evidence of a savage sexual attack. The FBI investigation traced Parman from Washington, D.C., to Ohio, Illinois, and thence through several States to the west coast. The Chief of Police of the Metropolitan Police Department, Wash- ington, D.C., has cited this case as an outstanding example of the type service which can be afforded by the FBI in cooperation with local law enforcement, without which the successful location of Parman would not have been effected. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 337 INTERSTATE TRANSPORTATION OF STOLEN AUTOS The auto theft problem continues to mount throughout the country. It is reflected in the alltime high of 19,856 stolen vehicles which had been moved interstate and recovered in FBI cases during 1964. This exhibit shows interstate transportation of stolen motor vehicles recovered. Mr. ROONEY. The exhibit shall be inserted at this point in the record. (The exhibit follows:) INTERSTATE TRANSPORTATION OF STOLEN MOTOR VEHICLES (AUTOMOBILES RECOVERED) FISCAL YEARS 18,921 1962 1963 1964 *ALL-TIME HIGH Mr.-HOOVER. The extent of auto theft crimes and the increasing frequency .of this offense were shown in the crime statistics which I presented earlier. These indicated that nearly 400,000 autos were stolen throughout the Nation during the calendar year 1963, an increase of 11 percent over 1962, and that over the 6-year period from 1958 through 1963 auto thefts increased 39 percent. A study of auto thefts shows that young people play a substantial part in this growing crime. Also of significance is the fact that slightly more than 40 percent of the cars stolen throughout the country have the key in the ignition or the ignition is unlocked. The study indicates that prevention is the best hope of reducing auto theft, particularly when we recognize the number of young people involved in the transportation-type theft. In this regard, drivers must recognize their responsibility to lock the ignition, remove the key, and secure the automobile. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 338 ORGANIZED CRIME AND RACKETEERING We are continually involved in thousands of investigations relating to various aspects of organized crime. Through this means we gather as much intelligence data as possible on the activities of the various racketeers, hoodlums, and professional gamblers operating in the United States today. We must have widespread coverage in this area of our operations because of the many and varied business activities-illegal and otherwise-in which the members of the organized criminal element are engaged. Some are smalltime crooks engaged in open criminal operations such as burglaries, armed robberies, car thefts, and the like. Others have engaged in selling illegal alcohol and narcotics, although the latter has reportedly been in disfavor with the organiza- tion since Vito Genovese was convicted on a narcotics conspiracy charge in 1059 and sentenced to 15 years in prison. Others invest heavily in gambling operations, either directly or as "bankrolls" for more experienced but less wealthy hoodlums, And stillothers employ their powerful criminal organizations in the fields of arson, extortion, labor racketeering, and the making of usurious loans. Employing their strong-arm tactics in combination with their large resources of illicit funds, many of the hoodlums have moved iDto the fields of legitimate business enterprise within recent years. One midwestern racketeer, for example, is now the owner or part owner of a number of commercial ventures, including a product- distributorship, a bakery, a racetrack, a busline, a rear estate firm and a restaurant. Others have invested in oil property, vonding machines, hospitals, laundries, supermarkets, hotels, motels, taxicat firms, theatrical agencies, and various types of manufacturing plants. The extent of the hoodlum infiltration of legitimate business is difficult to determine since much of it is carried on through fronts of various kinds. There is no doubt, however, as to its exiAenco and steady growth. Given half a chance, organized crime will gain a stranglehold on the legal, economic, and political controls of i1 com- munity. It, is able to do this because of the large amounts of money and small armies of gunmen at its disposal. Numerous underworld sources have reported that "loans harking" and gambling provide the hoodlum element with a multibil.ion-dollar income annually. Interest rates charged on loans range from as low as 200 percent a year to as high ai 20 percent a week. And violence or fear of violence is used in collecting debts in boh fields. Where debtors are unable to meet their pay,nents, the ho :d ums of ten move in and seize control of the victims' bu7ine3s, sometimes retaining the dispossessed owners as fronts to conceal the hoodlum ownership. One aid in the campaign to put major hoodlums and racketeers behind bars has been the organized crime legislation passed by Con- gress in the fall of 1961. This banned the interstate transportation of wagering paraphernalia, the interstate transmission of wagering information, and the interstate travel in aid of racketeering. As a result, of these new laws, 182 individuals have been convicted in the past 3 years and approximately 167 others are currently awaiting trial (m of March 1, 1965). Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 339 Indicative of the amount of new work resulting from this legislation, we have opened a total if 18,355 new cases under just the three anti- gambling laws alone (as of February 1, 1965). Our investigations under these new statutes have also enabled us to materially assist other police agencies conducting similar type opera- tions. For example, in Illinois, data to local and State police has been the basis of a series of gambling raids resulting in the arrest of approximately 370 individuals during the past 22 months (as of March 1, 1965). Another example is at Youngstown, Ohio. Here, the local grand jury, after checking into 84 cases and examining 368 witnesses in its probe of organized gambling and racketeering, reported that: A probe of such vast proportions could not have been possible without the full cooperation of the Federal Bureau of Investigation. Based largely on Bureau investigations, Federal grand juries are currently inquiring into organized crime activities in the New York and Washington, D.C., areas. These inquiries are being directed toward developing information which can be used as the basis for prosecution against hoodlum figures and underworld operations. (Discussion off the record.) Mr. HoovER. Inquiries in the Jacksonville, Fla., area developed substantial information on protection payoffs to officials of the Jack- sonville Police Department which enabled gamblers to operate un- molested. As a result of our dissemination of this information to the county prosecutor, one police officer has been found guilty of corruption, the charges against two others have been nolle prossed and three more have been acquitted. A justice of the peace pleaded guilty to attempt- ing to operate a lottery. Two police officers who were involved have retired and numerous assignment changes are being made in the upper levels of this police department. All told, 187,014 items of criminal intelligence-type information were disseminated to other Federal, State, and local agencies during the fiscal year 1964, an increase of 49,273 over the number of similar items furnished during the previous year. This chart shows the increasing cooperative assistance we have been able to give to other law enforcement agencies as we delve deeper into the operations of the organized criminal element in this country. Mr. ROONEY. This exhibit shall be inserted at this point in the record. (The exhibit follows:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 340 -DISSEMINATION OF CRIMINAL - INTELLIGENCE TYPE INFORMATION TO OTHER FEDERAL, STATE AND LOCAL LAW ENFORCEMENT AGENCIES NUMW O FflMS DUSIANATID 187,014 Mr. HoovER. Growing workloads in the civil rights field have placed tremendous demands upon our manpower and resources. 'there was a record-high total of 3,340 such cases received during the fiscal year 1964, a 24-percent increase over the number received in the prior year. The great increase in our work in this area is brought into sharp focus when it is considered that over the 5-year period 1960-64 there has been a 139-percent increase in the number of these cases. This chart shows "Civil Rights Cases Handled, trend 1960-64 fiscal years." Mr. ROONEY. At this point we shall insert this chart in the record. (The chart follows:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 341 CIVIL RIGHTS CASES HANDLED TREND 1960-1964 FISCAL YEARS 1960 1961 1962 1963 1964 Mr. HoovER. Without exception these are matters which require immediate handling and in many instances involve the extraordinary assignment of manpower and other resources. Some persons think that our work in the civil rights field is con- cerned only with such matters as the investigation of allegations of involuntary servitude and slavery, or the deprivation of rights, privi- leges, or immunities secured or protected by the Constitution or laws of the United States by persons acting under the color of law. Actually, although strictly limited by laws enacted by Congress, orders issued by the President and instructions of the Attorney General, our work covers a wide variety of matters and cumulatively these require the utilization of a large amount of manpower. As the investigative arm of the Department of Justice, the FBI conducts all of these varied investigations in the civil rights field promptly, thoroughly, impartially, and with but one goal-to deter- mine the true facts. In its traditional role as a fact-finding agency, the FBI furnishes the results of its investigations to the Department of Justice for its determination as to whether prosecution or further investigative action is warranted. We do not give opinions or make recommendations or evaluations. The facts speak for themselves. The FBI is not a national police force. As a factfinding organiza- tion investigating violations of Federal laws, its jurisdiction is strictly limited. It cannot, for example, assume without authority the role of protective bodyguard to any citizen or group of citizens. There are those who would have us ignore legally established juris- dictional lines just to appease pressure groups or others who feel we should be obligated to step in and handle matters which are not in our legal jurisdiction. Ironically, this would strike a blow at the rights, freedom, and liberty of all Americans-the very matter which Approthg~de eieasel~ eav/ : CIOA- DP7bB00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 342 Since many people do not fully understand the extent and limitations of the FBI's jurisdiction in the field of civil rights, we prepared a booklet "The FBI-Guardian of Civil Rights," which sets this out along with information regarding our cooperative services on behalf of State and local law enforcement agencies so as to better preserve and strengthen the rights of all citizens. Racial disturbances have added greatly to our work.. The FBI does not have jurisdiction in civil disturbances except in cases where subversive influences are at work or violations of civil rights or other Federal statutes within our jurisdiction are involved. We do, how- ever, follow on the racial situation from an intelligence viewpoint and all pertinent information received concerning conditions and the organizations involved is disseminated to interested Government agencies and officials. Indicative of our work in this area is the fact that we are currently investigating 14 Klan-type organizations having a membership of a proximately 9,000 individuals, This membership represents the "hard-core" individuals who are strongly anti-Negro and opposed to the integration of the races. The largest and dominant Klan group is the United Flans of America, Inc., nights of the Ku Klux Klan, with headquarters in Tuscaloosa, Ala. TOiis groupp is active in 8 States, has an estimated membership of 4,600 individuals, and is led by Imperial Wizard Robert Shelton. Another prominent Klan group is the White Knights of the Ku Klux Klan of Mississippi, which was organized in February 1964, and operates solely in the State of Mississippi, Its membership is esti- mated at 2,000 persons and it is led by Imperial Wizard Samuel Bowers. In the State of Louisiana, the Original Knights of the Ku Klux Klan is active. Its headquarters are in Jonesboro, La,, and its membershi is estimated to be 1,500. The leader of this organization is Roy E. Danis. Another large Ilan group is the United Florida Ku Klux Klan which operates in the State of Florida. It has an estimated membership of 900, and is led by Jason C. Kersey, and its headquarters is in Samsula, Fla. During the past year there has been a marked increase in Klan membership. Investigative experience has shown that Klan activity and membership have increased in those areas in the South where civil rights groups have been most active. This Bureau has under active investigation 9 hate-type groups having a total estimated membership of 500 individuals. The largest of these is the American Nazi Party led b George Lincoln Rockwell, with headquarters in Arlington, Va. This group has an approximate membership of 100 individuals. Another prominent organization of this type is the National States Rights Party, which hasieadquarters in Birmingham, Ala., and is led by Edward elds. This group has a very small membership; however, Fields and others connected with him prepare and distribute a large volume of hate-type literature which espouses anti-Semitic and anti- Negro views. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 343 We have penetrated these Klan and hate-type organizations with highly qualified sources consisting of not only rank-and-file members but also individuals who are in a position to have access to plans and policies. These sources furnish. val able information on a continuing basis. ACCOMPLISHMENTS IN TIE CIVIL RIGHTS FIELD The new Civil Rights Act of 19 4 which became effective July 2, 1964, placed additional demands upon the Bureau in matters relating to public accommodations, public facilities, and public education. A total of 1,032 cases have been rec ived for investigation under the provisions of this new legislation (February 24, 1965). During the fiscal year 1964 a total of 100 alleged violations of Federal election laws were received for handling. Along the same line, under the Civil Rights Acts of 1957 and 1960 we have handled many involved investigations of alleged racial discrimination in voting. These have required the making of nearly 1 million photographic copies of voting records and the conducting of more than 5,000 in- volved interviews, and have served as the basis for 70 suits filed by the Department of Justice. These efforts have enabled thousands of Negro citizens to register for voting. Our investigations in these and other matters have resulted in charges being filed in connection with a number of acts of violence. Since more serious violations of local laws may be involved, the Department of Justice often directs that the results of our investiga- tions be turned over to the local authorities so that they might have the opportunity of proceeding with the prosecution on the more serious charge. On June 10, 1964, Rabbi Arthur Joseph Lelyveld and two other white voter registration workers were assaulted in Hattiesburg, Miss. Local authorities were furnished the results of our investigation which identified the two local white men who perpetrated the assault. They were charged with assault and battery, fined, and sentenced to 90 days in jail, the jail sentences being suspended pending good behavior. In another instance, two white civil rights workers accompanied by a young Negro were assaulted in Jackson, Miss., on July 22, 1964. FBI investigation identified a local Klansman as having struck one of the workers with a club. Local authorities used this data to accept a plea of guilty on local assault charges and fined the attacker $50. On June 26, 1964, at Itta Bena, Miss., special agents of the FBI arrested three local white men for violation of Federal civil rights statutes following the intimidation of three voter registration workers and the assault of one of them at Itta Bena the day before. A Federal grand jury at Oxford, Miss., considered this matter on July 17, 1964, but failed to indict, although the intimidation and the identities of the subjects were clearly established. Following the shotgun blast murder of Lt. Col. Lemuel A. Penn while driving along a Georgia highway on July 11, our all-out in- vestigation resulted in the arrest of four Klansmen on August 6, 1964, Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 on civil rights violations. Complete details of our investigation, in- cluding some 800 pages of interviews with witnesses and subjects were turned over to the local authorities so they could proceed on the more serious murder offense and three of those arrested were indicted on this charge. However, following the trial of two of them, the local jury on September 4, 1964, returned a not guilty verdict. The, local charge on one was dismissed at the trial. The local charge remains outstanding as to the other man. Subsequently, the Federal grand jury at Athens, Ga., returned an indictment charging the four originally arrested and two additional subjects who were arrested on October 16 1964, on charges of com- mitting civil rights violations against Nero citizens in Georgia. This indictment was dismissed by the U.S. District Court on December 29, 1964. The dismissal of the indictment is being appealed to the Supreme Court by the Government. Another indictment charged one of the men with possession of a short barreled shotgun which had not been registered with the Secretary of the Treasury. Prosecutive action on this indictment is still pending. Michael Schwerner and Andrew Goodman, two white New Yorkers, and James Chaney, a local Mississippi N o youth, were civil rights workers. They were last seen alive on June 21, 1964, after their release from the Neshoba County jail at Philadelphia, Miss., where they had been incarcerated for several hours following their arrest by local authorities earlier that day. Their disappearance triggered an all-out investigation, In addition to bringing a large number of our own investigative staff into the area, we coordinated the efforts of hundreds of Navy personnel and law enforcement officers in a gigantic search effort. On August 4, 1964, the bodies of the victims were located by special agents of the FBI under an earthen dam about 6 miles southwest of Philadelphia. The intensive 5h-month investigative effort to identify and develop evidence and testimony concerning those responsible for this atrocious crime culminated in the arrest on December 4, 1964, by special agents of the FBI of 21 white men in Mississippi and Louisiana. Nineteen of the men were charged with Federal civil rights violations arising from the murders last June of the three young civil rights workers. Two others were charged with a Federal violation growing out of the fact that they had knowledge of the crime but concealed this knowledge from the appropriate authorities. On December 10, 1964, at a preliminary hearing for 19 of the defendants arrested in the Meridian-Philadelphia, Miss., area, the U.S. commissioner rejected the Government's efforts to introduce testimony concerning a written confession received from one of the subjects, irrespective of well-established precedents for such testimony. Rather than disclose additional evidence at this preliminary hearing, the Department of Justice advised that the case would be presented to a Federal grand jury. Thereafter, the commissioner dismissed the charges then pending against these 19 defendants, Similar action was taken in regard to charges against the other two defendants, the Department having subsequently entered separate motions for the dismissal of the complaint with respect to them. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 1345 The Federal grand jury, Jackson, Miss., returned 2 indictments on ,January 15, 1965, against 17 of the 21 men originally arrested and against 1 person not included in the prior arrests. These men were charged with Federal civil rights violations arising from the murders last June of the three civil rights workers. On February 25, 1965, the U.S. District Court Meridian, Miss., dismissed one of these indictments (charging violation of sec. 241, title 18, U.S. Code) against all but 1 of the 18 defendants. Section '241 prohibits two or more persons from conspiring to interfere with the constitutional rights of a citizen. In regard to the other indictment, the judge subsequently ruled that the 15 defendants who are not law enforcement officers cannot violate section 242, title 18, U.S. Code (color-of-law statute), and therefore, substantive charges against them -under this statute were dismissed from the indictment. All 18 defendants, however, remain -charged under section 371, title 18, U.S. Code (the general conspiracy statute) for having conspired to violate section 242, and the 3 law enforcement officers involved remain charged for substantive violations of section 242. The Government is appealing to the Supreme Court the dismissal ,of charges under both of these indictments by the district court. Among those indicted were Lawrence Andrew Rainey, sheriff of Neshoba County, Miss.; his deputy, Cecil Ray Price; Richard Andrew Willis, a patrolman of the Philadelphia, Miss., Police Department; and Herman Tucker, a Philadelphia, Miss., contractor who had con- structed the earthen dam in which the bodies of the three civil rights workers had been found buried. The trial date has not been set. The investigation regarding the disappearance of the three murdered civil rights workers established other civil rights violations and on October 2, 1964, two indictments were returned by a special Federal grand jury under which the FBI arrested five men, all present or former local law enforcement officers in the Philadelphia, Miss., area on civil rights charges of using unreasonable force while acting under color of law. These indictments grew out of charges relating to beatings, and the like, of Negroes arrested by them in 1962 and early 1964, and were not connected with the murder of the three civil rights workers. All are awaiting further prosecutive action. On October 22-23,1964, as a result of investigation by the FBI and the Mississippi Highway Safety Patrol, the highway patrol arrested five white men at Natchez, Miss., on charges of assault and battery with intent to kill two civil rights workers in the fall of 1963. The arrests were based on charges that the two civil rights workers- one a white man from Arlington, Va., and the other a Greenwood, Miss., Negro-were accosted and beaten by four of the five men on one occasion and that shortly thereafter three of those arrested fired shots at the car in which the two civil rights workers were traveling near Fayette, Miss, Neither worker was injured. A county grand jury returned no indictments in connection with one of these assaults and. the charges were dismissed on the other assault. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 346 POLICE BRUTALITY IN TENNESSEE As a result of our investigations, the Federal grand jury in Nashville, Tenn., returned indictments on June 251 1964, against seven officers of the Nashville-Davidson County Sheriff's Office and the Rutherford County Sheriff's Office. The indictments grew out of charges of police brutality in violation of a Federal Civil Rights Statute. The indictment against one of the individuals has been .ismisscd; the other six are awaiting further prosecutive action. RECOVERY OF BODIES FROM RIVER NEAR TULLULAII, LA. On November 6, 1964, FBI agents and local authorities arrested two white men, one a self-admitted Klansman, at Meadville, Miss., in connection with the murders of Henry Dee and Charlie Moore, two Negroes whose partial torsos were found in the Old River, back- water of the Mississippi River, near Tullulah, La., on July 12 and 13, 1964. The arrests were the result, of extensive investigation by the FBI. Both subjects were charged under State warrants with killing the two Negroes on or about May 2, 1964. The State charges were dismissed by local authorities on January 11, 1965, in anticiparion of later presentation to a State grand jury. Many incidents arising under the Civil Rights Act of 19G4 have been reported to this Bureau. These have been submitted to the Department of Justice for consideration and, frequently, the Depart- ment has ordered the FBI to investigate the alleged violations. Under this act, Willie Anion Belk, his son, and Sam Allen Shaffer, Jr., were arrested on July 23, 1964, by the FBI at Greenwood, Miss., on charges of conspiracy to injure, oppress, threaten, and intimidate Silas McGhee, a Negro, in the free exercise of his rights to full and free enjoyment of a public accommodation, the Le[lore Theater in Greenwood. The arrests stemmed from our investigation concerning the beating on July 16, 1964, of Silas McGhee. On January 6, 1965, a Federal grand jury at Oxford, Miss., returned indictments against each of the subjects. The trial has not been set. All subjects are free on bond. A series of bombings occurred in the =lcComb, Miss., area from June to September 1964. The cooperative investigation of the. FBI and the Mississippi Highway Safety Patrol resulted in the arrest of 11 white men between October 1 and 5, 1964, on charges of being variously involved in 5 separate bombings and in a church burning. All those arrested were charged under Mississippi law with the un- lawful use of explosives which carries a penalty ranging from imprison- ment to death. On October 23, 1964, the local court suspended jail sentences as to nine of the men after they had entered pleas of guilty or no contest to charges stemming from racial bombings. All were placed on probation. It was indicated that the same procedure would be followed with regard to another defendant when he is released from a Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 347 mental institution. He is presently scheduled to be sentenced in the March 1965 term of the local court. The remaining subject originally arrested was not indicted by the local authorities. The judge indicated he was placing the nine defendants on pro- bation because they were members of good families and "mostly young men, just starting out." One defendant was 44, another 38, and two others were 36 and 35. Of the remaining five, two were 25 and the other three were 22, 21, and 20 years of age. The order of the judge in connection with the sentencing of these individuals stipulates that should any further violence erupt in the McComb area indicating a systematic plan has been developed to foment crime and violence, the probationary sentences are subject to being revoked, regardless of whether the subjects are actually involved. No additional bombings have occurred in McComb since the arrests were made. In Jacksonville, Fla., the home of Iona Godfrey, a Negro, was damaged by dynamite on February 16, 1964. Godfrey's 6-year- old son was attending a school under a Federal court order. FBI investigation established that William Sterling Rosecrans, Jr., a Klan member, had participated in the bombing to get the boy "out of the white school." Rosecrans pleaded guilty to obstructing a court order and was sentenced in U.S. district court on April 17, 1964, to serve 7 years. Five other Klansmen who allegedly either par- ticipated in the actual bombing, assisted in the theft of the dynamite used, or were otherwise involved, were also arrested by the FBI. On July 5, 1964, following the first trial, one of these was acquitted in U.S. District Court. Following the second trial, the remaining four subjects were acquitted on November 25, 1964. At Arlington, Va., on September 7, 1964, a powerful explosive was detonated adjacent to a high school building, breaking windows and damaging fixtures. The cooperative investigation of the FBI and the local authorities led to the identification of three local youths who were former students of the high school as being involved in the bomb- ing. Since the explosive elements of the bomb were determined to have been obtained locally, there was no Federal violation and the youths were prosecuted by the local authorities. On October 29, 1964, the local court found two of the youths, both 18 years of age, guilty of destruction of property and of trespass, while the third, who was 19, was found guilty of contributing to the delinquency of a minor. Both charges carry possible penalties of 1 year in prison and a $500 fine. On December 9, 1964, the local judge, who had originally p'aced all three subjects in the Arlington County jail pending determination of sentence, released them without fines or other sentences but continued the cases against them for a period of 2 years, stipulating that the court is to retain jurisdiction over each until the age of 21 is reached. At Meridian, Miss., on the basis of information developed by the FBI, special agents of the FBI and members of the Mississippi Highway Safety Patrol arrested James Charles Rutledge at Meridian, Miss., on October 8, 1964, on State charges of feloniously possessing explosives. At the time of this arrest, Rutledge was in possession of approximately 40 sticks of dynamite as well as a quantity of blasting caps. An indictment returned by a local grand jury was found Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 348 defective and dismissed; the grand jury failed to indict when the case was reconsidered. On January 24, 1965, two automobiles were severely dammed by explosions in the vicinit of St. Peter African Methodist Episcopal Zion Church in New Bern, N.C. On the same evening, Oscar's Mortuary in New Bern was also severely damaged by an explosion. The owners of the automobiles were attending a meeting of the Na- tional Association for the Advancement of Colored People at the church. This meeting was called to formulate plans to step up integration of schools. All victims are Negroes and axe active in integration matters, Intensive investigation identified three white men, Raymond Duguid Mills, Laurie Latham Fillingame, and Edward Earl Fillingame, as the perpetrators of the bombings. A search, incidental to the arrest of Mills at his home, revealed a Ku Klux Klan charter dated June 4, 1964, issued by Imperial Wizard Robert M. Shelton naming Mills as Exalted Cyclops of the New Bern unit of the United Mans of America, Inc., Knights of the Ku Klux Klan, The three men were arrested by FBI agents on January 29, 1965, on charges of conspiring to intimidate the owners of the bombed automo- biles and the mortuary from the free exercise of their rights guaranteed by the Constitution. The three subjects are free on bond awaiting further proseeutive action. Although numerous arrests and convictions have resulted from our investigations in civil rights matters the effectiveness of our work in this field can never be assayed on the basis of these statistics alone. Perhaps the greatest accomplishments are to be found in the results of our intelligence and liaison programs. We are continuously gathering information on a day-to-day basis regarding civil rights situations. The immediate dissemination of such information to the appropriate law enforcement agencies having the responsibility to maintain the peace and prevent violence un- doubtedly serves to prevent instances of violence which would other- wise occur. Our program of liaison with Governors and other ranking State officials for the purpose of encouraging high standards of law enforce- ment and the strict enforcement of State laws has also paid valuable dividends. Over the years in the police training field, the FBI has provided civil rights courses and lectures by FBI instructors to law enforcement agencies across the Nation and has conducted hundreds of civil rights schools for officers dealing with the Constitution, Bill of Rights, and other natters in the civil rights field. Immediately following the passage of the Civil Rights Act of 1964 a series of 228 law enforcement conferences was held throughout the country for a detailed discussion of this new legislation and its relationship to law enforcement at all levels. The conferences were attended by 20,184 persons representing 6,406 agencies. Further, the fact that it is known throughout law enforcement circles that the FBI vigorously investigates all civil rights matters involving violations of Federal laws undoubtedly serves as a deterrent Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 349 to discourage violations on the part of extremists and also is a spur that encourages local officers .to immediately and vigorously investi- gate civil rights situations. Along this line, the sheriff of Pike County, Miss., advised that through observance of the manner in which the FBI investigates these matters and the experience gained therefrom, officers of his department and Mississippi highway safety patrolmen were enabled to effect the arrest on November 4, 1964, of seven white men involved in the shootings into two private residences in McComb, Miss., in the early part of October 1964. Mr. Chairman, this concludes my statement. Mr. ROONEY. Mr. Smith? Mr. SMITH. Off the record. (Discussion off the record.) LABORATORY TESTS Mr. SMITH. I notice in a number of States submissions to the labo- ratory did not have any relationship to population. For example, there were 4,606 by Arkansas and 1,622 by California. What is the basis for that? Mr. HOOVER. One basis is the desire or lack of desire by the agencies to make use of our facilities. Another reason is the fact that some State and local jurisdictions have their own laboratory which they use. Mr. SMITH. Some use your office more than others? Mr. HOOVER. That is very true. Mr. SMITH. What would be the nature of these laboratory tests,: ballistic tests? Mr. HOOVER. We cover the entire field of scientific research and, laboratory work including blood, ballistics, tire treads and the like. Mr. SMITH. That is all. Mr. FLYNT. Off the record. (Discussion off the record.) Mr. FLYNT. Thank you. Mr. ROONEY. Mr. Cederberg? Mr. CEDERBERG. Mr. Director, it has been a pleasure for me to be.. here and to listen to your testimony. I share your concern about the crime on the streets that we find in our large cities. Just yesterday when I was driving home and listening to the radio I heard where some woman was driving into her garage at her apartment and was attacked and is in serious condition in the hospital. This goes on day after day after day. I do not suppose anyone really knows what the answer to the problem is but probably the judiciary ought to take a little harder look at some of the sentences and really make it true that crime does not pay. Mr. HoovER. I have urged publicly and in testimony before this committee that that be done. The law of averages now is in favor of the criminal being freed. (Discussion off the record.) Mr. Ci DERBERG. That is all, Mr. ROONEY. Mr. Director, we are most appreciative of your highly interesting and informative statement which has now proceeded for practically 332 hours. Mr. HOOVER. Thank you, Mr. Chairman. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 350 AFTEBNOO;i SESSION IMMIGRATION AND NATURALIZATION SERVICE WITNESSES R. F. FARRELL, COMMISSIONER E. A. LOUGHRAN, ASSOCIATE COMMISSIONER D. FRANCIS, ASSISTANT COMMISSIONER J. 0. BROWN, CHIEF, BUDGET AND ACCOUNTS OFFICE Object classification (In thousands of dollars] 11.1 Personnel compensation: Permanent p{ositions ................................. 48,215 61,464 51 725 11.3 Positions other than permanent----------------------- 634 839 , 678 11.4 Special personal service payments --------------------- IIO 127 127 11.5 Other personnel compensation ........................ 4,808 5,458 5,453 Total personnel compensation ....................... 53,733 67,888 57 981 12.0 Personnel benefits---------------------------- 4,293 4'%6 . 4,577 21.0 Travel and transportation of persons .................... 11)103 085 2 074 22.0 Transportation of things -------- ---------------------- 288 348 , 347 23.0 Rent, comntunlcatlons, and utilities-------------------- 1,445 1,595 1 593 24.0 PrintIng and reproduction------------------------------ 461 498 , 471 25.1 Other services------------------------------------------- 1,475 1,591 1 786 25.2 Services of other agencIes ----------- ................ .. 492 510 , 514 28.0 Supplies and materials ---------------------------------- 2,075 2,150 2 118 31.0 Equipment ................... -------- ------------......f 1,063 2,145 , 1 637 32.0 Lands and structures -------------------------- 292 730 , 465 42.0 Insurance claims and Indemnities----------------------- 14 14 14 44.0 Refunds ----------------------------------------------- 32 31 91.0 Unvouchered----- ------------------------------------- 50 50 Total costs, funded ----------------- -- ---- -------- - - -- 57,817 74,210 04.0 Change in selected resources ............................ 351 -995 Subtotal--------------------------------------------- 58,188 73,215 78 658 95.0 Quarters and subststeneo charges ........................ -64 -64 , -54 99.0 Total obligations..... ................................. 58,114 73;604 Personnel summary Total number of permanent limit Into ......................... Full-time equivalrnt of other positions ------------------------ A veragL number of all employees ............................. Average 08 grade--------------------------------------------- Average OSsalary ............................................ Average salary of ungraded positions .......................... 7,058 106 8, 875 7.8 V. 346 $5, 859 7, 097 173 6, 695 7.8 $7,755 $5,842 7,095 129 6639 7.6 $7, 807 $5,865 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 351 Program and financing [In thousands of dollars] Program by activities: 1, Inspection for admission into the United States .-._--__ 18, 020 20, 242 20, 079 2. Detention and deportation_____________________________ 6,313 6,583 6,586 3. Naturalization----------------------------------------- 4,054 4.289 4,240 4. Border patrol------------------------------------------ 17, 526 19,827 19,324 5. Investigating aliens' status_____________________________ 12,585 13, 052 13,114 6. Immigration and naturalization records________________ 5,437 5,988 6,088 7. General administration________________________________ 3,828 4,175 4,164 Total program costs, funded I________________________ 67, 763 74,156 73, 604 Change in selected resources 2____________________________ 351 -995 10 Total obligations---------------------------------------- 68,114 73,161 Financing: 25 Unobligated balance lapsing______________________________ 883 New obligational authority_____________________________ 68,997 73,161 73, 604 New' obligational authority: 40 Appropriation-------------------------------------------- 69,011 71,100 73,604 41 Transferred to "Operating expenses, General Services Administration, Public Buildings Service" (77 Stat. 436 and 78 Stat. 655) ---------------------------------------- -14 -3 43 Appropriation (adjusted)_____________________________ 68,997 71,097 44 Proposed supplemental due to civilian pay increases. 2,064 ------------ Relation of obligations to expenditures: 71 Total obligations (affecting expenditures) ----------------- 68,114 73,161 73, 604 72 Obligated balance, start of year___________________________ 5 068 6,002 7,089 74 Obligated balance, end of year____________________________ -6,002 -7,089 -7,669 77 Adjustments in expired accounts_________________________ -7 -74 81 Balance not available, start of year________________________ 74 -------------- 82 Balance not available, end of year_________________________ -74 -------------- 90 Expenditures excluding pay increase supplemental - - - 70,153 72,881 91 Expenditures from civilian pay increase supplemental- 1,921 143 'includes capital outlay as follows: 1964, $1,356,000; 1965, $2,876,000;1966, $2,099,000. & Selected resources as of June 30 are as follows: Unpaid undelivered orders, 1063, $1,323,000 (1964 adjust- ments, $21,000); 1964, 31,695,000; 1.905, $700,000; 1966, $700,000. Mr. ROONEY. The committee will please come to order. The next and last item for the Department of Justice is entitled "Immigration and Naturalization Service." . It is to be found at page 109 of the committee print and under tab 25 of the justifications book. We shall at this point insert in the record pages 25-1 through 25-84 thereof. (The pages follow:) Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Op CIS + 1~p~ ,3 .ed + Ib 1f l + ?. QQ ~6 Q d C ~} Q 4625 Q Q Q d5 d~25 1 ' i ~ - yj A , m 3 ro I adatf i`` QQQ QQ? Q QQ Q M5 16 1! H " I . I f .II 11111119119111 9?9 h amt` ! 1_ +I. e .? Y ;oa ;eiE~: om pas a> . ; ~ ~~~pp~ y a q 2 oil Y $ ~ . eGO piQ GOB y -aa C ~~ ~ OP~v GCm .e O k~~ ` 49~ .a G Q .+ O~~IS m_ F7~F f 1 //.`~ -if 19 T~ Y Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 353 Summary table of net differences Summary Appropriation---------------------------------------- $71,100,000 +$2, 504, 000 Less: Transfer to "Operating expenses, General Serv- _ _____________________________ ices Administration"-------------------------------- -3,000 +3,000 Adjusted appropriation____________ 71, 097, 000 -------------- Proposed supplemental (Public 2,064,000 -2,064,000 Reduction in naturalization force_____________________ $121, 000 Mandatory and obligatory adjustments: Within grade salary advancements________________ $359,600+359, 600 Accident compensation (Public Law 86-767)______ 67, 800- 9, 600 Annualization of pay increases (Public Law 88- 426) ------- ------------------ -------------------- 32, 000+ 32, 000 IIealth insurance change (Public Law 98-284)----- 10, 200+ 10, 200 Construction and repairs: Inspection stations_______________________________ 240,000 230,000- 10,000 -------------- Border Patrol stations---------------------------- 103, 800 148,000+ 44,200 -------------- Station repairs and alterations____________________ 131,800 181,900+ 50,100 -------------- Equipment costs: Passenger vehicles________________________________ 467, 500 479, 600+ 12,100 -------------- Trucks------------------------------------------- 404, 700 392, 000- 12,100 -------------- Aircraft------------------------------------------- 76, 500 64, 500- 12,000 ------------- Radio system renewal_______________________'_____ 234, 500 225,100- 9,400 ------------ - Emergency generator equipment_________________ 128,900 43,100- 85, 800 -------------- Records equipment_______________________________ 60,900 41,500- 19,400 -------------- Automatic typewriters----------------------------- 160, 000+160,000 -------------- Increases for other purposes: Temporary employment records project.......... ------------ -182, 800 ------------- Naturalization film_______________________________ -------------- 75, 000+ 75, 000 -------------- Master index relocation__________________________ -------------- 157, 500+157, 500 -------------- Alien address program increase___________________ -------------- 4, 400+ 4,400 ------------ Net increase------------------------------------ +443, 000 BROAD COMPARISON This budget reflects a decrease of 12 positions, amounting to $121,000. The total estimate for the fiscal year, 1966 is $73,604,000. This is an increase of $443,000 over the anticipated -total fiscal year 1965 appropriation of $73,161,000, which includes a proposed supplemental of $2,064,000, and minus $3,000 trans- ferred to the General Services Administration. Major subdivisions of the net increase are: (1) Mandatory and obligatory adjustments such as within-grade Salary promotions, $392,200; (2) construction, $84,300; (3) equipment, $33,400; .(4) a miscellaneous net increase resulting from the need for a new naturaliza- tion film, $54,100; and (5) the decrease of 12 positions, $121,000, The obligation and cost adjustments applied to the fiscal year 1965 appropria- tion, in order to arrive at a base for 1966, are listed by topics and by activities on the statement entitled "Detail of adjustments in base." The adjustments amount to a net decrease of $2,062,200. Applying the net decrease of $2,062,200 to the anticipated total 1965 appropriation of $73,161,000 provides a base of $71,098,800 for purposes of comparison with the 1966 estimate of $73,604,000. This results in a comparative increase over base of $2,505,200 for the fiscal year 1966. The comparative increase is subdivided into an increase of $319,800 for personal services and benefits, and an increase of $2,185,400 for other objects, or a net increase above the base of $2,505,200 as shown by the table entitled "Con- solidated Comparison of Program Costs by Objects." Items authorized to be credited to the appropriation account are estimated at $2,078,000 for the fiscal year 1965 and $1,938,000 for fiscal year 1966, as detailed by object and by source on the table entitled, "Statement of reimbursements." Total collections of fees.. fines, forfeitures, and other items for deposit to the general fund amounted to $5,003,695 for the fiscal year 1964; such funds are not available for obligation by the Service. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 354 .1 Leo ~til g ti N Jd ?4 m I 8 8 $ 'SP ;I 8Q Y 88pQ BY~ 8 ~} g _ _ _ _ 8pp 88 88 M O ; ;8; ;i +F t- ~U M CV ~ 43 G ri N M a vi o ~ ;2525 ' 8 ~3 'i= 2S 14 14 M 8 8QQ QQ oQ QQ os QQ o$ rCv]r~ 3 . i 4WWV QQ ~r I QQ 4Q V! oQ G , . j t y ~ O a'fi3if$i 31 ~ `ooh 4 Sig y a6a~~ iIilJft1H OaG~+ p y 6,; 14 Pi 4 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 355 ANALYSIS OF APPROPRIATION EASE The 'preceding tabulation, entitled "Detail of adjustment in base," summarizes by items and activities the reductions applied in obligations to arrive at the appropriation base for 1966. The so-called nonrecurring items are listed as reductions in order to arrive at a zero base before taking up requirements for like items in the fiscal year 1966. This eliminates from the base all funds for replace- ment of passenger vehicles, trucks, and aircraft; for installation of emergency power generator equipment; for renewal of the border patrol radio system; for improvement of equipment housing the master index and for mechanization of visa processing. Funds for construction of border inspection stations, border patrol stations, and for annual repairs to immigration stations have also been deducted. The 1965 fiscal year cost of temporary employment for screening alien files, and for rearranging master index cards to facilitate searching have been deducted from the base for the fiscal year 1966. The cost of accident compensation reimbursable to the employee compensation fund is listed as a reduction before taking up the requirement for a like item in the fiscal year 1966. The annualization of 3 days of the Federal Employees Salary Act of 1964, Public Law 88-426, effective July 5, 1964}. is added to the base in the amount of $32,000 for the fiscal year 1966. The mounting yearly increase in the number of alien address reports received- for which the Post Office must be reimbursed-cannot be further absorbed. The amount of $4,400 is based on an estimated increase of 50,000 reports at $0.08889 each. The average annual increase has been 96,000 for the past 4 years; 3,335,591 reports were received last year. Under Public Law 88-284, approved March 17, 1964, female employees enrolled under the provisions of the Federal Employees Health Benefits Act of 1959 in a "Family-Female with nondependent husband" plan had their deductions decreased by $1.30 a pay period. Conversely, the Government contribution increased $1.30 a pay period for each of 301 such employees. Thus, the total annual cost of the increase to the Service is $10,200. Reduction in naturalization forces (-$121,000) .An annual recurring saving of $121,000 is planned beginning in the fiscal year 1966 by eliminating 12 naturalization examiner positions. While the overall workload in the naturalization program of the Service is not increasing, the potential for the increase still remains. However, its fruition is not immediate, and in line with the Services emphasis on economy and programs designed to obtain increased productivity, it has been found possible to budget this saving as a reduction for the fiscal year 1966. Increases requested for the fiscal year 1966 Passenger vehicle replacements (250) : 1966 program--------- --------------------------------- +$479,600 1965 program--------------------------------------------- -467,500 Difference------------------------------------------ -- +12,100 As of June 30, 1965, the Service will be operating an authorized fleet of 992 passenger vehicles, consisting of 973 sedans, 16 buses, and 3 station wagons. Out of an estimated 321 vehicles falling within GSA replacement standards during the fiscal year 1966, funds are requested for replacement of 249 sedans and 1 bus. Selection of those vehicles to be replaced is based upon determinations as to the time when rising costs of maintenance make further retention uneconomi- cal. Passenger. vehicles used by the Service average approximately 20,500 miles per year.. Passenger vehicles are used for patrol of the. border, pursuit of law violators, movement of aliens, travel of officers to meet arriving ships and planes at appointed times and places, travel in connection with the examination and interrogation of naturalization applicants at over 600 courts, and for conducting investigations concerning aliens illegally in the United States. Buses are used for the transportation of aliens to and from detention centers, to border expulsion points, and general deportation work. A very considerable measure of opera- tions efficiency rests upon the dependability of the fleet. Replacement of sedans is estimated on the basis of a total cost of $1,870 per vehicle (including $380 for police-type equipment), net $1,730, plus $140 each for Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 350 delivery charges. Anticipated receipts for the sale of old vehicles are reflected in the estimated appropriation reimbursements for the fiscal year 1966. The details making up the total cost of replacements are as follows: I bus amount Basic vehicles (gross) --------------------------- $1,500 $373,500 $387 500 Police equipment. ... -__ _____ _________________ 380 94, G00 , 94,600 Subtotal--------------------------------- 1,880 488,100 14,000 482 100 Sale of old vehicles ............................ -150 87,400 -400 , -37, 800 Basic vehicle, net ------------------------ 1,780 430, 700 13, 600 444,300 Freight ------------.. -------------------------- 140 84, 900 400 85,300 Total- ----------------------------------- 479,600 The projected age and mileage distribution of the passenger vehicle fleet as of June 30, 1965, is as follows: SEDANS 1965 ......................................................... 1964.. ------------------ --------------------------------------- 1963 -------------------------..............------------------ 1962 .......................................................... 1961 ........................................................... 1964.......................................................... 1962--------------------------------------....------------..... 1961..--------------------------------------------------------- 1959-- ----------------?.........----------------------------- 1958-- -------------------------------------------------------- 1955 ------------------------------------------------?.------ 1954.----------------------- -------------------------------.... 1953........................................................... 1961.......................................................... 1958 ........................................................... Number of vehicles Average mileage 6,600 26,000 60, 000 67, 000 80, 000 14, 000 88, 000 85, 000 72,000 84,000 90,000 115, 000 125, 000 52,000 66,000 The net difference between the 1965 and 1966 passenger vehicle replacement program of $12,100 results from the replacement of 249 sedans and 1 bus in 1966 compared to the replacement of 250 sedans in 1965. Truck replacements (130). 1966 program-------------------------------------------- -;-$392,600 1965 program-------------------------------------------- -404,700 Difference--------------------------------------------- -12,100 Operations of the Border Patrol require the support of a fleet of trucks. The mileage record of the fleet as of June 30, 1965, will be approximately as follows: 1965 ---------------...--? ................................... 196t------------------------- --------------------------------- 1963----------------------_------------------------------------ 1962...-?----------.._ ........................................ ----------------------------------------------------------- I Number of vehicles 131 125 98 99 62 Average mileage two 16, 009 46, 000 68,000 67,000 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 357 Funds are requested for 130 replacements out of the estimated 237 which will fall within General Services Administration replacement schedules during 1966. The net cost of the 130 replacements is computed as follows: gross ----------------------------------------------- Vehicles - -- - $2,930 $380,900 , - ------- - --- :Sale of old vehicles ---------------------------------------------------------- -110 -14, 300 net Vehicles -------------------------------------------------- 2,820 366,600 , --------- Freight---------------------------------------------------------------------- 200., 26,000 Total--------------------------------------------------- --------------- 3,020 The net decrease of $12,100 between the 1965 and the 1966 truck replacement program results from four less trucks being replaced in 1966. aircraft replacements (3) : 1966 programs----------------------------------------- --- +$64,500 1965 program------------------------------..-------------- -76,500 Difference.------------------------------------------------ -12,000 The Border Patrol. Operates 25 light aircraft and 6 transport aircraft in its mission of guarding and controlling the borders. The transport aircraft were obtained from the military services as surplus at no cost to the Service. The light aircraft are' assigned to stations on the Mexican and Canadian borders for mobile aerial observation points to keep large areas of the border and adjacent territory under surveillance during daylight hours. Persons observed entering the United States illegally, or persons observed whose tracks indicate that they have entered at a place other than a designated port of entry, are reported by radio communica- tion to officers in ground vehicles. While awaiting the arrival of such officers, the. pilot maintains surveillance of the persons and if necessary gives radio direc- tions to bring the officers into a position to intercept. Transport aircraft are used to speed large numbers of deportable aliens to points along the borders from which they may be expelled expeditiously. -The Cessna 310, and the two DeHaviland Beaver aircraft are of a type which will not require normal replacement for several years. A replacement standard of a maximum of 4 years has been established for the remaining 22 observation type aircraft. As these aircraft are flown in close proximity to the ground for a major portion of the time while being operated, operation beyond the standard which has been established might result in internal structural metal fatigue while in flight. Such metal fatigue might cause a failure which at low altitude flight could result in an accident. Also, more efficient operation is attained when a pilot has a sense of security because of his belief in the complete airworthiness of his aircraft. Replacement of three observation aircraft will be required during the fiscal year 1966 as shown by the following table of observation aircraft in. use on June 30 1965: Number of planes Years of age Replace in fiscal year 1966 5 ? 1 ---------------- 8 2 ---------- 6 3 ---------------- 3 . 4 3 122 ------?---- 3 ?? poes?not include 2 Deuaviiand Beavers and 1 Cessna 310D not to be replaced. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 358 The aircraft to be replaced are as follows: klr 1tfteaiIon number To he re- placed by N'3Y------------------------- -------------------- - -----------------------Cessna I52.- Cessna 152. N`M 3GY----------??------------ -----------??- ---- --------...------ ----do- Do. N-181-L--------------------------------------??---------------------- -Cessna I8.5I Cessna 155. The two Cessna 182's, to be purchased, will each cost $21,000 equipped. After deducting $500 each for the sale of the old planes, the net price will be $20,500, or $41,000 for both planes' The Cessna 185 to be purchased will cost $24,000 equipped. After deducting $500 for the sale of the old plane, the net unit price and replacement cost will be $23,500. Thus total replacement cost will he $61,500, The. net decrease of $12,000 for aircraft replacements in 1966 comoared to 1965 results from the replacement of three aircraft in 1966 while five aircraft were scheduled for replacement in 1965. The 1965 schedule called for replace- ment of four Piper Super Cubs and one Cessna, while the 1966 schedule requires replacement of three Cessnas. Emergency power generator equipment: 1906 program--------------------------------------------- 4443,100 1965 program--------------------------------------------- ---128,900 I)ifTerence---------------------------------------------- -S5,800 Emergency power generators are required at certain critical radio re eater sites. The maintenance of vital communication links provided through radio repeater stations, usually in isolated locations, is dependent upon the availability of emergency power supplies. The success of operations, including control of the borders, depends to a great extent upon the communication systen?. Immediate communication is frequently necessary for the protection of officers, particularly when they are working alone to conserve manpower. Each installation will he equipped with automatic changeover accessories so that the generators will start if and when the regular electrical supply is interrupted. The cost will vary considerably with the size and location of the installation. Installation of emergency power generator equipment in the fiscal year 1966 is a continuation of the 1965 phase of the program. It is proposed to install the equipment at the critical locations listed on the following page, during the fiscal year 19136 at an estimated cost of $43,100. Emergency potrer generator equipment Radio repeater stations: Eatfmated coat Radio repeater stations-Con, Filirnated Coat Childs Peak, Ariz-------- $976 Gardner, N. Dak -------- $1,520 White Tanks, Ariz ---_-__ 1,057 Alvin, Tex-------------- 976 Blue Ridge Mountain, Calallen, Tex ----------- 976 Calif----------------- 076 Del Rio tower, Tex--__-__ 1, 300 Briarerest., Calif ____--_-__ 976 Falfurrias, Tex______---__ 1, 136 Diablo Mountain, Calif --- 976 Laredo tower, Tex_____-_ 2,236 Lorna Prieta, Calif ------- 976 Faysville, Tex_-_-____--_ 1,200 Lyons Peak, Calif________ 976 Mines Road, Tex---__--_ 976 Santa Yncz, Calif-_----- 97G Pyote, Tex______________ 976 May Mountain, Mainc__-_ 976 Port Isabel, Tex-________ 976 New Sweden, Maine------ 976 Rio Grande City, Tex---- 976 Aurora, Minn ------------ 1,520 Beecher Falls, A't--_______ 976 Net Lake, Minn_________ 1,520 Killington, N't-___-_______ 976 Cannon Mountain, N.II_-_ 976 Blyn Mountain, Wash ---- 1,520 Long Ridge, N. Alex ----- 1,520 Galbraith Mountain, Pinos Altos, N. Mex___-- 1,019 Wash----------------- 1,520 I)ix Hill, N,'Y____-______ 976 Mount Spokane, Wash --__ 1,520 Lockport., N.Y__________- 976 Squak Mountain, Wash___ 1,520 M l N Y 976 a one, . ____________ Worden Hill, N.Y........ 976 Total----------------- 43,100 Bear Butte, N. Hak_-____ 1,520 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 359 Radio system renewal: +$225 100 1966 program--------------------------------------------- , 1965 program--------------------------------------------- -234, 500 Difference---------------------------------------------- -9,400 Additional border patrol sectors require the implementation of UHF multiplex in the F M mobile system of the Service. Installations of UHF multiplex systems in the fiscal year 1966 are planned for the Del Rio and Tucson sectors. These systems will provide improved coverage and better utilization of the border patrol repeater system by breaking the system into more easily manageable geo- graphical groups, under the control of the sector headquarters. Nominal quantities of VHF repeaters, antennas, vehicular sets, and hand carried portables are required for replacement of obsolete or damaged equipment. VHF-FM base stations are to be installed in the smaller offices of the Service to provide contact with mobile units and sector headquarters. FM aircraft sets are of the new light-weight type for phasing out the heavier sets presently in use. Such weight improvement is critical in light aircraft. The navigational aid equipment, is needed for one of the transport type aircraft in order to meet increased demand for navigational accuracy and aircraft identi- fication in high density air traffic areas. Single sideband exciters, linear amplifiers and HF antennas are required for replacement of sets which are excessively old and obsolete, and to update the IIF network. The exciters will have four transmit and four receive channels. Up-to-date test equipment is required to maintain both the HF-SSB and FM networks, and to conform to Interdepartmental Radio Advisory Committee re- quirements for proper transmissions. Charts showing equipment location assignments appear on the following pages. Radio system renewal UIIF UHF Foot UHF UHF Location base Towers of RF du- antennas station WB NB NB MPX line plexers U-4 U-2 U-2 chassis Del Rio, Tex------------- 1 3 2 2 3 4 3,000 12 9 12 9 Tucson, Ariz_____________ . 1 3 1 3 3 1 3,000 El Paso, Tex------------- -------- -------- ------- -------- -------- -------- 1,000 ------- -- Quantity 2 6 3 5 6 5 7,000 21 21 Unit cost ................. $16,000 $6,000 $3, 000 $1,200 $800 $5, 000 $1.30 ' $400 $240 Total cost________________ $30,000 $36,000 $9,000 .$6,000 $4,800 $25,000. $9,100 $8,400 $5,040 Subtotal, $133,340. Location VIIF antenna VIIF 4-unit repeaters VIIF- FM base station VHF- FM mobiles hand carried portables Test sets FM A/C ' sets Naviga tional Northwest region ------------ 4 2 5 2 --------- 3 ......... ........ Northeast region. ------------ 3 1 5 2 --------- ......... ......... Southwest region ------------ 3 2 8 4 8 4 4 1 Southeast region------------ --?------ --------- 2 2 3. 1 . Quantity-------------- - 10 5 20 10 11 1.0 4 F Unit cost------------------- $100 $2,000 $550 $550 $500 $1,000 $700 $12,000 Total cost___________________ $1,000 $10,000 $11,000 $5,500 $5,500 $10,000 $2,800 $12,000 Subtotal, $57,800. , Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 360 III'-S8,B Exellu j Linear amplifier Del Rio, Tex .................................. 1 1 ... . Tucson, Aria.. ............. 1 ~ 1 . ......2 St. Albans, V t ................................. 1, 1 El Paso, Tex ................................... 1 1 Maria, Tex ..................................... 1 1 llavre, Mont ................................... Spokane, Wash................................. Blaine, Wash................................... Quantity ................................. 6 5 10 6 Unit cost ...................................... 2 6 $115 $1 300 Total cost. ... $12 ,, 500 $122.6 00 $1,150 , $7, 800 Subtotal, $33,950. Grand tots], $225,100, Records equipment: 1906 program--------------------------------------------- -F$41,500 1965 program--------------------------------------------- --60,900 l)ifference---------------------------------------------- -19,400 Service records grow each year as other workload activities increase., Modern records equipment must be employed as new systems and procedures are applied to records functions to absorb the growth and avoid substantial manpower increases. Forms 1-94, arrival-departure record, containing information regarding each alien's admission and departure are maintained permanently in a master index in accordance with the provisions of section 290(a) of the Immigration and Nationality Act. Also, there is an index card for each case file. The master index is housed in 63 mechanical index machines. The mechanical equipment housing the master index has reached its capacity in volume. About 3.500,000 index cards will be filed in the master index in the fiscal year 1966 and ;approxi- mately 400,000 cards from the plaster index each year will be destroyed or routed to files. This will leave a net expansion growth of 3,100,000 index card3 in the fiscal year 1966. The Service will then require five additional index machines with a capacity of about 5,000 filing inches each to handle the normal expansion requirements. The machines similar to those. now in operation will cost $6,500 each installed, a total of $32,500. Four machine card sorters are used in conjunction with the mechanical index equipment. They facilitate the sorting of index documents by name, country, and date of birth preparatory to filing. One machine purchased in 195S should be replaced in the fiscal year 1966 because the normal useful life of the equipment will have been reached. The machine card sorter will cost $9,000. This record equipment for the fiscal year 1966 is estimated to cost $41,500. Master index relocation: 1966 program-------------------------------------------- -$157,500 1965 program-------------------------------------------- ---------- Difference--------------------------------------------- -I- 157, 500 The master index contained about 37 million index cards at the end of the fiscal year 1964. About 3.5 million are being added each yezr and about 400,000 are being withdrawn each year. The index is housed by 63 mechanical index machines, 3 being added in the fiscal year 1965. Five additional machines will be required in each of the fiscal years 1960, 1907, 1968, and some additions may be required in subsequent years, until the use of electronic equipment becomes feasible. Limitations in the building make it impossible to install any more index machines at this location. A number of office operations are already seriously handicapped due to a lack of adequate space. The only recourse is to relocate the index machine section. It is planned that the index machines will be housed in less expensive space than that currently in use and their relocation will be preparatory to conversion to electronic equipment when and if that time comes. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 361 The estimated cost for relocating the master index. to other quarters and re- lating expenses is as follows: Construction of platform to accommodate 84 machines------ ------- $70, 000 Electric wiring -------------------------------------------------- . 20, 000 Moving, installing, and housing machines----------------------------- 51., 000 Remove existing platform, repair floor, install new floor covering and 6, 500 rehabilitate area ----------_ --------------------- Total-------------------------------------- ----- --- - - 157, 500 Automatic typewriters: 1966 program--------------------------------------------- + $160,000 1965 program--------------------------------------------- --------- Difference--------------------------------------------- + 160,000 Whenever an application for naturalization is received approximately 8 to 10 forms must be typed in separate operations at various stages of processing. Since over 150,000 such applications are received each year the clerical work is volumi- nous. A new system using tape operated typewriters will mechanize the process- ing of most of the forms. Under the system a maximum of 10 typing operations will be executed automatically using perforated tapes. An. automatic typewriter, two tape readers, and a paper tape punch are the basic pieces of equipment to be used for each unit. The following table shows a breakdown of the cost of equip- ment to be installed at 13 locations: Estimate'of total equipment needs Location Units needed 1065 Federal., supply ` . schedule price list, FSC group 74, pt.1 New York N,Y ----------------------------------------------------------- 7 $37,990.40 , -- Calif Los Angeles ------------------------------------------------------- - 4 21, 708.80 , -- - N J Newark --------- --------------- ---------------------------------- 3 10,281.60 , . ------ III ------------------------- Chi 3 16, 281.60 ---------------------------------- cago, ------------ ------ ---- Francisco, Calif San ,y. 10,854,40 ------- Mass Boston ------------------------------------- - 10, 854, 40 -------------------------- , - Detroit Mich---------------------------------------------------------------- 10, 854, 40 , Cleveland Ohio ---------------------------------------------------------- 10?854, 40 --- , ------------------------- ----------------------- ----------- Y N Buffalo - -'1 5; 427.20 . , - ---- Pa Philadelphia ------------------------------------------------------ 5,427.20 , ------ San Antonio, Tex----------------------------------------------------------- 5, 427.20 -------------------------------------------------------- --- Fla Miami -? 5,427.20 , - ---- Hartford, Conn-------------------------------------------------------------- 5,427. Z Total ------------------------------------------------------------- 162, 816.00 ----- Budget roundoff------------------- ------------------------------------------ 2,816.00 Rounded total----------------------?---------------------------------- Repairs and alterations: 1966 program------ --------------------------------------- +$18.1 ,900. 1965 program------------------------------------------ 131,800 Difference------------------------------------ +50i 100 There is a continuing need for repairs and alterations to Government-owned buildings for which the Service is holding agency. Many of the structures and mechanical installations are old and worn and require constant attention. It is not always possible to 'forecast and schedule in advance the exact .items required in a.particular fiscal year because unexpected mechanical failures, storm. damage, and other emergencies require the diversion of funds to provide for.a`n. immediate and critical requirement. Because the 1965 allocation of $131,800 has' been deducted from the base, the entire 1966 requirement of $181,900 is listed as. an increase. Major anticipated items in the 1966 budget estimate include: San Pedro, Calif.: Replace unsafe electrical wiring. and obsolete.. lighting fixtures, repair heating system, repair deteriorated paving, repair waterlines. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 362 Honolulu, Hawaii: Repair roof of office building, replace unsafe electrical wiring. El Centro, Calif.: Repair roof, install additional fencing, repair paving. Marfa, Tex.: Repair paving. Yuma, Ariz.: Replace unsafe. electrical wiring, paint interior and exterior of buildings.. Chula Vista, Calif.: Replace water distribution pipes, convert to natural gas, paint pistol range building. Border patrol stations: Paint buildings, repair paving. Border stations: Erection of storage sheds, paint buildings. Port Isabel, Tex.: Paint buildings, erect parking shed for official auto- mobiles, repair paving, repair detention building roof, provide asphalt surfacing of road. Repeater stations, towers, and associated housing units: Paint towers and equipment housing units, change tower lights, The following pages show the actual obligations for the fiscal year 1964, the amounts allocated for the fiscal year 1905, and the estimate for the fiscal year 1966 for each station. Repairs and alterations to immigration stations by stations and projects Estimate, Estimate, 1965 1900 Immigration stations: San Pedro, Calif------------------------------------------ $4, 828 $10,800 300 $13 Honolulu, IlawaB ----------------------------------------- 121 4, 600 , 3,100 El Centro Calif .......................................... 9,445 18,500 8,700 Inspection anti detention station: Opa Locke, Fla__......... 147 500 3,100 Detention station and sector headquarters: El 1'aeo, Tex.-._. 5, 803 sector headquarters: McAllen, Tex --------------------------------------------- 1,299 4, 000 2,100 Marla, Tex ......................--------------_---..._...- 930 1,100 2, 000 Laredo, Tex---------------------------------------------- 1, 974 2,500 2, 000 Del Rio, Tex............................................. 330 Tucson, Ariz ------------------- --------------------------- 644 200 Yuma, Ariz ....................................... ...-__ 3,999 1,700 5,500 Chula Vista, Calif ---------------------------------------- 3,764 7,300 7,200 Border patrol stations----------------------------------------- 13, 425 20,000 18, 900 Border stations----------------------------------------------- 17, 503 20, 000 48,700 Part Isabel, Tex---------------------------------------------- 36,900 33,400 Repeater stations, tower and associated housing units .------.- 3,700 33, 900 Border inspection stations: 1966 program-------------------------------------------- +$230,000 1965 program-------------------------------------------- -:240,000 Difference--------------------------------------------- -10,000 At a number of locations along the land borders, the buildings and adjunct facilities used by the Service in the inspection of persons entering the United States are most inadequate, ',stations which were constructed in the 1930's have a very small office and two undersized apartment units in the one building. In addition to being crowded, there is practically no privacy between the living quartets and the office. In many areas, housing conditions for officers are very unsatisfactory and rental units are either unavailable or substandard, Under Lhe guidance of Ow Bureau of the Budget, the Service and the Bureau of Customs have agreed upon a program for construction of required projects. Facilities are requited at 23 locations where action can be tab-on by the two Services under the act of June 26, 1030, as amended (46 Stat. 817; 511 Stat. 1091; 65 St4t. 336; 70 Stat. 159; 74 Stat. 130; 76 Stat. 87.) Under tl taw, the Secretary of the Treasury and the Attorney General are authorized to expend from appropriations for the Customs and Iminigratiur and Naturalization Service not to exceed $100,000 for any one project covering sites and buildings to provide better ft;.cilities for law enforcement at points along the hordes at wldch no Federal or other build ings adapted or suitably located for the purposes are available. The estimate for the fiscal year 1966 provides for construction projects at eight locations Approved For Release 2005/08/16 : CIA-RDP70BOO338ROO0300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 363 While the actual cost will vary depending on local pay scales, subsurface con- ditions, availability of utility lines, site preparation, etc., the overall estimate, developed on the basis of average conditions follows: Station building---------------------------------------------- 1,110 $20,000 Canopy ---------------------------------------------------- 500 6, 500 --- utility installation, etc___________________________________ Site 15,000 , Grading, approaches and driveways__________________________ 10, 000, Total for station without living quarters________________ 51,50(1 Cottage --------------------------- ------------------------ 1,215 18, 200 --- - Garage- - - ---------------------------------------------------- 300 1,800 Total for living quarters________________________________ 20,000 Appliances: Per cottage----------------------------------------------- 1,250 Per station building______________________________________ 1, 000. The entire border inspection station program recommended for the fiscal year 1966 is summarized as follows: Cottages Location Cost of Appliances Total cost I. & N. station cost Number Amount Danville,Wash__------------- $46,500 12 $30,000 $3,500 $80,000 $40,000 Laurier, Wash________________ ____________ 1 750 1,250 25 000 12,500 Lukeville, Ariz______________ Portal, N. Dak_______________ ____________ ____________ (2) 4 207 50 95,000 __ 5,000 2 5,000 100,000 50,000 Raymond, Mont_____________ ------------ 3 76,250 3,750 80,000 40,000 Sherwood, N. Dak------------ 321,500 2 40,000 . 3,500 65,000. .32, 500 Turner, Mont---------------- Westhope,.N.Dak------------ ------------ 321,500 (4) 2 25,000 40,000 ----------- 3,500 0 65,000 12,600 82,500 Total___________________ 89,500 ------ 360,000 20,500 460,000 230,000 t?Includes conversion of old station into a cottage. 2 Improvements to 3 cottages. Renovate station. Improvements to 2cottages. 1. Danville, Wash. The present station is located at the border on Highway 4-A but is on the wrong side of the highway. All traffic entering the United States must cross the path of northbound traffic to reach the station for inspection. Approximately 41,000 persons enter at Danville, annually. Port hours are 8 a.m. to 10 p.m., June through September and 8 a.m. to 8 p.m., October through May. The station is manned by one immigration officer and two customs officers. No rental housing is available in the vicinity of the station, the nearest being approximately 31 miles distant. It is proposed to construct an office building, one residence and convert the present station to a residence: 2. Laurier, Wash, One immigration officer and two customs officers are assigned to this. port. Only two Government-owned cottages are available.. There is no rental housing in the vicinity of the, station, the nearest being approximately 40 miles distant. It is proposed to construct one cottage at Laurier. S. Lukeville, Ariz. At the time three cottages were constructed at this location in the fiscal year 1961, it was necessary to delete the utility room and carport from each unit because of cost limitations then in effect. Utility rooms are essential for general storage purposes and particularly for tools and garden equipment, much of which must be kept out of doors. Carports are urgently required because of the severity of the climate in this desertlike area. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 364 ~. Portal, N. Dak. The housing situation is very critical for immigration and customs officers assigned to this port. At the time of a recent survey, there were no rental units available except one or two houses in very poor condition; and they lacked a water system. The rental situation in nearby towns is similar to that in Portal. Government officers must compete for rental housing with oil and missile workers in the area. Five immigrant inspectors, 5 patrol inspectors, and 10 customs inspectors are assigned to tins location. It is proposed to construct four cottages at Portal to relieve the officer housing problem at this port. 6. Ray pond, Mont. The station at this location was constructed in the late 1030's. The facility consists of a small office and two unsatisfactory apartment units which are not only small but arc so constructed that the occupants lack the minimum of privacy between the living units. The. port. is staffed by one immigration officer and two customs officers. It is proposed to utilize the station building for office space and relief officers quarters and to construct three cottages for the officers assigned to the station. 8. Sherwood, X. Dak. The station at this location was constructed approximately 27 years ago. It was designed to provide a very small office and two living units, which are grossly inadequate and afford no privacy to the occupants. The port is staffed by one immigrant inspector and one customs inspector. It is proposed to construct two cottages for rent to the officers assigned to the port and to renovate the station building to provide an adequate office and suitable relief officer quarters. 7. Turner, Mont. At the time a station and two cottages were constructed at this location in the fiscal year 1959, it was necessary to omit basements and other essential features because of cost limitations. It is proposed to replace the asbestos shingles on the exterior of the residences with aluminum siding, construct additional storage space that is urgently required and to make other improvements to the station and cottages. 8. Westhope, N. Dak. The station at this location was constructed approximately '7 years ago. The station consists of a very small office and two living units which are not only most inadequate in size and accommodations, but there is little privacy between the. respective units. The port is staffed by one immigrant inspector and one customs inspector. It is proposed to construct two cottages for the officers and to renovate the station building to provide an adequate office and suitable relief officer's quarters. Border patrol station: 1966 program-------------------------------------------- +$148,000 1965 program-------------------------------------- ----- - 18'3,800 Difference--------------------------------------------- +44,200 The efficiency of border patrol operations, the problems of which grow more acute each year, is affected to a great degree by the design and location of facili- ties and housing to accommodate patrol units and officers assigned to those units, Border patrol station locations must have adequate parking space with immediate accessibility for patrol vehicles; private interview rooms; and provisions for tem- porarily holding law violators. There are 30 border patrol projects in the long- range program scheduled for construction under the authority available to the Immigration and Naturalization Service. The program is scheduled as follows: Two project are planned for the fiscal year 1960; five in 1967; five in 1968; five in 1969; six in 1970; and seven in 1971. The border patrol station program for the fiscal year 1966 is summarized hereunder: Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 365 Cost of Appliances Total station cost, Presidio Tex ------------------------- - - $100,000 $108,000. , - - - lf Point Mont - W 40, 000 -------------- ---------- o , - - Total 100, 000 8,900 ---------------------- ------ -- 1. Presidio, Tex. IT "using units are desperately needed for border patrol officers assigned to this location. Presidio is located on the Rio Grande River. Most of the houses are substandard and few rental units are available.. Because most residents are in, aglow-income category, there has been no interest in the construction of rental housing. The Presidio Border Patrol. Station has had to be designated by the border patrol as a hardship station primarily because of the critical housing' situation. The station has a complement of 12 officers. It is proposed to con- struct five cottages at this location. ,2: Wolf'Point, Mont. The present station is located in unsatisfactory rented space on the. second floor of~ a lodge hall. The entrance to the office is just off the foyer to the main dance:loor and bar; which provide a questionable atmosphere for the conduct of .official Government business. No other ' suitable space is available: Three =officers are assigned to the station. A new station having the required minimumi facilities, including an attached garage, will be constructed. Accident compensation: 1966 program ----------------------------------------------, -I-$67,800 1965 program-- ----------------- -------------------- -77, 400 Difference ---------- -____.-.-,------------- -_-:--- -9, 600 On December 13 1960, section 209 of Public Law 86-767 amended section 35 of the Employees compensation Act by requiring each agency to reimburse the employee. compensation fund for payments on account of injury or death for occurrences after December 1, 1960, to employees under the agency's jurisdiction. Under the legislation. the Secretary of Labor furnishes to each agency the cost of benefits paid during the preceding fiscal year and the agency includes that.amount' in the annual budget estimates for the next fiscal year, The amount appropriated will be deposited in the Treasury to the credit of the fund within 30 days after it becomes available. The cost of benefits paid to Service employees for claims resulting from injuries or death during the fiscal year 1964 was $67,800. Naturalization film: 1966 program--------------------------------------------- +$75,000 1965 program------------------------------------------ --------- Difference ---------------------------------------------- +75,000 The citizenship program conducted by this Service, strives to afford every ,qualified alien the opportunity to become a citizen, through the naturalization process::. Service films are used as one of the media to explain the naturalization process .and encourage potential candidates to apply for citizenship. One such film is. "Twentieth Century Pilgrim" which was produced in. 1951. The main character in the film portrays a typical alien applying for naturalization and' becoming naturalized. Its principal purpose is to, dispel the apprehensions and' fears many aliens have about applying for naturalization and to instill the importance, ,of taking such steps., Changes in naturalization procedures, customs, and modes' ,of dress require that the film be replaced with an updated version. ' The film to be produced will be 28 minutes long and 4 or 5 characters will be used with scenes shot at approximately 20 different locations. The total cost is estimated to be $75,000. Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 366 Statutory salary advancements: 106G program-------------------------------------------- +-$359,600 1965 program-------------------------------------------- (1) Difference--------------------------------------------- +359,600 'The amount of $455,400 was allowed as an increase to the fecal year 1905. This represents a continuing requirement and remains in the base. The total estimated cost of within-trade promotions in the fiscal year 1966 is $742,200, as compared with $766,900 in tiie fiscal year 1965. The total cost has been reduced by $74,600 (10 percent) to allow for the fact that due to turnover and promotions not all within-grade advancements for which present employees would become eligible will be made. The Service Will absorb 46 percent of this amount or $308,000. The remainder of $359,600 amounts to approximately $51 per employee, The unabsorbed amount required of $359,600 includes $335,400 for personnel compensation, $900 for the Government's share of employee life insurance, and $23,300 for the Government's contribution to the employee retirement fund, which will increase as a result of the statutory promotions. Employees are advanced in compensation to each of the first three within- grade rates after a waiting period of 1 year, to each of the next three within-grade rates after it 2-year waiting period, and to each additional withii-grade rate after a waiting period of 3 years, provided the employee's work is of an acceptable level of competence. The Service's promotional program provides for the filling of vacancies from within by both qualified and eligible personnel. This program encompasses all officer positions, including those at supervisory, management, and executive levels. As a result, the Servicv is able to retain experienced personnel and has thus been able to handle a continually growing volume of work without receiving commensurate increases in personnel. Lowered personnel turnover is desirable. However, unless funds are. provided concurrently to cover the statutory salary advancements, the cost can be absorbed only by forcible retention of positions on a vacancy basis far beyond periods required for a normal recruitment process. This the Service cannot afford to do and continue to carry out its law enforcement functions. For the last few years the Service's personnel losses per month have averaged 0.7 percent. The estimate of $359,600 is equivalent to 47 man-years, which makes it impossible for the Service to absorb the statutory cost by normal attrition within a 1-year period. To do so would necessitate arbitrary action in withholding recruit- ment approximately 12 months per vacancy to enforce lapse savings of pproxi- mately 7 percent as compared with the normally accepted lap se of approximately 3 percent for most agencies in the Federal Government. Concurrently, the per- formance of the Service's law enforcement functions would be greatly af3eeted. Over the years, the cost of the permanent work force has increased $7,203,419 over the minimum of the grade due mostly to statutory advancements. Much of this increase is being absorbed in the large lapse of $3,516,870, Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 ,367 a;a 46-866-65--24 O m CV ~L, I ~h >?I m ;O , 1Ofj I>n --I 1,,, 1, 1, 1- 1, 1, ~D T LL T ~j t}1 ~ ) ~ C I~I t I I I i _ 1 1 II I I I 1 1 I 1 ((JJ11 ~ yR= ~ ` QQ QQ QQ oQ QQ QQ QQ QQ o 8 QQ S ~V~~IV4V ~J 4V V~LTJ CJ V ~ ~ QQ V OtD dl tD (p oqG :oti= ; z ceE da'a'b sJ3~~^ 1 Y o a o H C a+ "0.14 ^7L a O: 7.f t=,wi~, Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 Approved For Release 2005/08/16 : CIA-RDP70B00338R000300040001-0 37. 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